A major cost cutting announcement is to be made at Waterford Crystal tomorrow morning, with up to 200 job cuts and a pay freeze expected.

Over 1,500 people are currently employed at the company's two factories in Waterford City and Dungarvan.

It is understood that around 200 jobs could be in jeopardy, but neither the company nor unions are speculating on the details of what will be announced in the morning.

Union sources say the number of job cuts being discussed is pure speculation, and they will not be commenting on the cost-cutting plan until after they receive details tomorrow morning.

A company spokesperson said discussions had been going on with staff representatives for a number of months and no comment would be made until tomorrow.

In April, Waterford Crystal cut nearly 100 temporary jobs and in June, the entire workforce was laid off for one week. The company also indicated that it would be opting out of the new national pay agreement.

It is believed the company is aiming to make more than €15m in savings and a comprehensive plan is being presented to shop stewards at both factories at 8am tomorrow. The continued low level of consumer confidence in the US and unfavourable exchange rates are said to be part of the reason for the cost cutting measures.