CRISIS-HIT Crown Wallcoverings made 177 workers redundant at its Darwen plant today - with the threat of more job losses to come.

Receivers Ernst & Young, who were brought in last week in a bid to rescue the company, made the announcement after calling a series of meetings with the 400-strong workforce.

The company confirmed that 177 shopfloor workers were told to go today. Thirty five out of 212 workers employed at other sites in Morecambe and Middleton also lost their jobs today

Workers leaving the company today claimed they had been told there could be as few as 60 staff left at the firm by the time the job cuts were over.

They said the lucky few were siphoned into a room and the remainder were told their jobs were going today and their pensions were being frozen until they were 65.

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The print union GPMU today accused Ernst & Young of being "ruthless" and said it would be taking legal action against the firm for breach of employment law.

Deputy general secretary Tony Burke said: "They have failed to consult either the workers or the trade unions. Our concern is for our members and their families."

Kevin Nelson, 34, of Radfield Road, a former machine operative, said: "A lot of people here are very upset because they didn't see it coming at all."

Mick Clarkson, 49, from Green Row, Tockholes, has been working at Crown for 23 years. He said: "All those years count for nothing with this company and they've given us absolutely nothing. I'll go down to the jobcentre this afternoon because I have nothing else.

"Two decades ago we had around 900 people here and now the company's dead. It's a very black day for Darwen."

Martin Croft, 27, of Cemetery Road, said: "My wife is pregnant and I have two kids aged two and six at home. How am I supposed to support them and how am I going to pay the mortgage?"

Crown Wallcoverings has produced wallpaper at Belgrave Mills since 1839 and is the spiritual home of the UK's wallpaper industry.

The company became part of the American Imperial Home Decor Group Inc, the world's largest wallpaper operation, in 1998. In addition to the Crown wallpaper brand, the Imperial Home Decor portfolio includes Anaglypta, Shand Kydd, Transform, Oakdene and Lincrusta.

The Belgrave Mills site is the European headquarters of Imperial Home Decor Group UK, which employed a total of 800 people at Darwen, Morecambe and Middleton.

The American-owned company has blamed declining sales over the past five years for calling in administrative receivers.

Last Friday, the receivers said their were no immediate plans for job losses but they could not rule out redundancies. They said they had already received some interest from prospective buyers.

Rossendale and Darwen MP Janet Anderson said: "I'm sad and disappointed.

"Blackburn with Darwen Council has been talking with the North West Regional Development Agency about the company and trying to find a buyer for it.

"They have set up a taskforce to try and find anybody made redundant other employment.

"But I am saddened that the American owners chose not to invest in the company as other firms in Darwen have done."