COUNCIL chiefs were today having crisis talks with bosses at Leoni in a desperate attempt to salvage some of the threatened jobs.

All 550 workers at the Pickup Street site were yesterday told they would be made redundant in November after the firm, formerly Lucas Rists, had decided to pull out of Accrington.

Within minutes of being told about the devastating job losses, which threaten to shatter Hyndburn's fragile economy, council chiefs had arranged a meeting with bosses at the site.

Council leader Peter Britcliffe told the Lancashire Evening Telegraph: "This is a devastating blow for Hyndburn and it threatens to shatter our fragile economy.

"We will be talking today to the human resources manager and site manager at Leoni in an attempt to save if we can salvage something. "Not only does this put 550 people out of work, it threatens to have a knock-on effect throughout the borough at other firms which supply them, and it could force some of them to close."

Arrangements are now being made for all council vacancies to be advertised at Leoni, with Coun Britcliffe urging employers to do the same.

Council managers will also visit the plant to explain to staff the sort of posts which are becoming available.

Coun Britcliffe added: "We have to find a way to keep the factory open and keep at least some of the jobs there.

"I cannot express how devastated we all are here today. We will work our fingers to the bone to help the people there."

Hyndburn MP Greg Pope plans to talk to the firm and the department of Trade and Industry to see if anything can be done to help the stricken workforce.

Coun Ian Ormerod, leader of the Labour group at Hyndburn, said: "It is a disaster for the area.

"We still rely very heavily on manufacturing in this area, and manufacturing is an industry which is struggling because we are not in the Euro at the moment."