Engineering firm Siemens is to cut 155 jobs at its gas turbine plant in Lincoln.
The job cuts are part of a major restructuring of the packaging operation, and Siemens said that a further 140 jobs at the factory may be affected.
The remaining packaging operation will be consolidated at two European sites, Hengelo in the Netherlands and Finspong in Sweden, reports the BBC.
Chris Grimshaw of the union Unite said: “Morale is not very good. Numbers are slightly down on what was expected but when there are job cuts in the air, people start to wonder about their futures.”
Siemens chief executive Nick Muntz said he hoped the move would “drive up the volume of our products and benefit what we do in Lincoln.”
A consultation process has begun, and Siemens said that it would try to redeploy staff where possible.