There are fears for 169 jobs in Rathkeale, Co Limerick, after costume jewellery manufacturer Andersen Ireland went into voluntary liquidation.
The business will continue to trade until the liquidator is appointed on 23 September.
At that stage, the company said the liquidator will assess whether some positions can be protected. The liquidator will also address the issue of redundancies as applicable.
The Rathkeale facility manufactures costume jewellery and accessories, which are sold in Germany, Austria, Switzerland, France and Italy.
Local Fine Gael councillor Stephen Kearny said it will have a major impact on the area if all the jobs are lost as there are few other larger employers in the area.
Andersons came very close to closure last December when its current owners bought it out in the hope of returning it to profit.