Employees at a US technology security company in Connemara are being briefed about plans to move production to a new site in Galway city.
The move will affect more than 100 people employed by HID Global.
The firm specialises in identity technology, manufacturing a range of secure ID cards, which are used across a range of sectors.
It has had a production facility in an industrial park at Tulaigh, Baile na hAbhann for a number of years.
Staff at the plant were informed about the plans in a series of meetings today.
HID Global says that it will not be making a public statement until this process of engagement has concluded.
It is understood workers have been told that as part of an expansion programme, production will move to a bigger site in Galway city in the coming months.
The move will take place on a phased basis and will lead to an increase in the workforce in due course.
It is believed all staff will be offered the chance to relocate to the new facility.
While the decision will result in an increased number of jobs, the company's move from Connemara will be seen as a blow to ongoing efforts to secure employment in Gaeltacht areas.