Several hundred jobs were threatened in Wexford yesterday when one of the town's biggest employers went into receivership.

The future for the 364 staff at Wexford Electronix will become clearer today when the receiver appointed to the company, Mr Ray Jackson of KPMG, meets staff and their union representatives.

In a surprise move that angered workers at its two Wexford premises, the company said it had requested its banks to appoint a receiver because of a sharp drop in demand for its products.

It said demand in the capital goods market had fallen, particularly in the past three months, and a continued weakness in sales was forecast, forcing it to take yesterday's action. The company makes cable harnesses for the motor industry.

Concern at the development was expressed by the Tβnaiste and Minister for Enterprise, Trade and Employment, Ms Harney, who said her department and Enterprise Ireland would give Mr Jackson "every support possible with a view to keeping the company in business and preserving employment".

Although the company had laid off 40 workers in the summer because of a drop in the build rate of customers such as JCB, staff said the announcement came out of the blue and criticised management for not informing them of the position earlier.

Mr Michael French from Maudlinstown, who has worked for the company for 15 years, said he heard the news on the radio while at home having his lunch.

"I couldn't believe it. That was the first I heard of it."

Mr David Hynes, a Labour Party member of Wexford Corporation and an employee of the company for the past 31 years, claimed workers had been "kept in the dark like mushrooms".

They had been trying to "get answers" for a long time without success. "We gave this place the best days of our lives and this is what we get in return."

A company spokesman could not be contacted for comment.

A closure of the company, which is Wexford town's second-biggest employer, would be a devastating blow to the area following the loss of 150 jobs at Wexford Weaving, and another 150 jobs at Wexal in Enniscorthy during the summer.

There is a strong view in the county that, while Wexford did not get any benefits from the economic boom, it is already paying a high price for the downturn.

Mr David Sinnott, the president of Wexford Chamber of Industry and Commerce, claimed there had been no government or state agency reaction to the closures of Wexford Weaving and Wexal and said yesterday was "a black day".

Mr Mike Jennings, SIPTU's south-east regional secretary, said the union was "sick and tired" of drawing attention to the "chronic and severe levels of unemployment in Wexford".

There were 6,000 people on the live register in the county, which had not benefited from a large-scale jobs announcement in "well over 20 years".

SIPTU represents about 70 of the workers at the company. The other unions involved are the TEEU and AEEU. The company also has a manufacturing plant in Mexico, which it opened two years ago to service the US market.