The long-term future of the Summit Wool Spinners plant in Oamaru will not be known until May at the earliest, with new owners Godfrey Hirst employing 61 workers in the interim.

Former Summit Wool Spinners staff member Sharon Solomon said the sale of the carpet yarn exporters by its Japanese owner, Sumitomo Corporation, would put 160 people out of work and would mean $11 million less in the local economy.

An opposition inquiry into manufacturing has heard from workers who fear for their future in the sector.

First Union textiles secretary Paul Watson said both (Waitaki Mayor) Mr Familton and the union had been in contact with the ministry to seek funding for an additional support programme.

First Union Textiles secretary Paul Watson said Summit's decision to close the plant was a huge blow for North Otago.

There'll be crisis talks today over redundancy packages at the Summit Wool Spinners plant in Oamaru. Sharon Solomon works at the plant and is a delegate for First Union - she says they're still sorting out exit-details.

Sharon Solomon, an operator and delegate for First Union, said last week she was "pretty devastated.

First Union and the EPMU are seeking legal advice as they are ''concerned'' over redundancy payments for some Summit Wool Spinners employees.