Around 30 workers have begun a sit-in at the Vita Cortex plant in Cork in a dispute over redundancy payments.
The company, which had been involved in the production of foam for the furniture and packaging industries, was due to cease production today.
However the workers have received no redundancy because the company says money for the payments is in an account of a sister company which is now controlled by NAMA and the workers say it will take up to 12 months to access statutory redundancy payments.
NAMA says the money in the accounts of the sister company has to be used to pay the parent company's debts.
The workers now say they will stage a sit-in at the plant until the issue of their redundancy payments has been dealt with.