DOMESTIC appliance group Electrolux confirmed yesterday that it was shedding 50 jobs in the region because of a slump in shoppers' spending.

Unions said the job cuts were evidence of a manufacturing recession in the region.

The blow is the second to hit the town of Spennymoor, County Durham, where 100 jobs were lost earlier this month when Electrolux supplier Vetroprint Ltd went into receivership.

Business analysts were hopeful yesterday that the move was a 'blip' in the fortunes of the Swedish-owned company.

Last June, it had invested £7m at its Merrington Lane Plant developing its freestanding Insight cooker range.

Electrolux said yesterday it was hoping that most of the redundancies, which take effect at the end of January, would come from volunteers amongst its 600 workforce.

But workers reacted angrily after managers told them on Tuesday. One man, who asked not to be named, said: "We have all been worried because there have been rumours. People have been here for years. Whole families have worked here and we hoped it is a job for life. It is a sign of the times."

John Marr, Spennymoor Town Council leader, worked at the plant for 30 years until the plant's refrigeration section closed in 1998.

He said: "We have suffered a double blow. The men of Spennymoor are used to hard graft and these are the type of jobs in manufacturing which will not be replaced.

"My years with Electrolux were the best of my working life. They were good employers. It was a pleasure to go to work."

Gerry Hunter, of union Amicus, said: "We are hoping to find 50 people who are happy to go. This is bad news. Manufacturing is definitely in recession.

"We can only hope that the new cooker goes well and that this is the last of the cuts."

Bishop Auckland MP Helen Goodman said: "It is a very disappointing. But this is a good new product and I know that because of the financial systems that Electrolux have, as soon as the market turns they will be in a position to take people on again.

"There are a lot of new houses being built and that will benefit the cooker market."

Alan Hall, northern director of the Engineering Employers' Federation, said: "This reflects the current position in the white goods sector which is very flat.

"I don't think this reflects the long-term health of Electrolux. What we are seeing here is a blip in the market."