Economic chiefs and a trade union leader were today calling for urgent talks to prevent yet another serious factory closure in the city.

As many as 64 jobs are in jeopardy at heating systems firm Range Powermax where parent company, the Baxi Group, today announced that it was thinking of shutting the Clifton Moor operation and moving manufacturing to facilities in Norwich.

The announcement, described by the Baxi Group as "a comprehensive review of the company's operations in York", comes hot on the heels of news that nearby Clifton Moor packaging factory Lawson Mardon is to close at the end of June with the loss of 76 jobs.

There is a further question mark hanging over 88 jobs at York Gas, which is also closing down in June.

Both Bryn Jones, manager of the City of York economic development unit, and John Kirk, North Yorkshire regional organiser of the GMB Union, were today attempting to arrange talks with David Goddard, director of the Baxi Group, to glean more information about the closure prospect at Range Powermax.

Stunned staff at the plant in James Nicolson Link, Clifton Moor, which only two months ago was awarded the Investor in People national standard, have already been told that the closure option was being considered in the wake of a merger between Newmond plc and Baxi in November last year, but no final decision would be made until the views of employees and trade unions were sought.

In a statement, Mr Goddard said: "The merger has created a tremendous opportunity. We have to make sure that we can provide the most efficient and cost-effective service for our customers.

"To be the best, we must supply top-quality products at the right price. To achieve this goal we have to look at our costs and be certain that we are getting value for money."

The statement has puzzled Mr Kirk, who in pay negotiations on behalf of his 40 GMB members at the Clifton Moor factory last year, agreed high weekly quotas and quality standards of heating units produced.

"The workforce has shown 100 per cent commitment and has met those targets in full, so we are taken aback at the prospect of moving the work out to Norwich," he said.

Updated: 15:26 Tuesday, April 24, 2001