More than 230 jobs are to go at a Wiltshire-based logistics company.
SDC, which has a depot in South Marston and employs about 500 people, delivers parts to the nearby motor manufacturer Honda.
SDC general manager Steve Gopal confirmed the company was planning the reduction in the workforce.
"Because of the current economic climate and reduction in car volume [at Honda] 135 permanent jobs and 100 agency jobs will be need to be lost."
"Over the last few months the global economic situation has taken a turn for the worst and Honda's situation has seen them cut more than 30,000 sets from their car production and that has had a direct impact on us," said Mr Gopal.
"The announcement is a proposal and we will be negotiating with our associates and we will be looking at ways of minimising the impact for them."
SDC holds car parts for Honda and ships them to the company as required.
Workers at the factory said they were not surprised to learn their jobs were going.
"The moment in the meeting when they announced the cuts everybody's faces dropped," said one employee who asked to remain anonymous.
A 90-day consultation period has started between the company and unions. Details of where the cuts will be made will be made public at the end of the consultation.