The global economic slowdown and the crisis facing America's car manufacturing industry has hit yet another Victorian business in the run-up to Christmas.
Ballarat-based brake pad manufacturer FMP Group announced it is shedding 50 jobs, blaming the world financial crisis and problems affecting the United States.
The company, which currently employs more than 350 workers, supplies brake products to the major car makers, including Ford, Holden and Toyota, and exports heavily to the US.
Interim managing director Graeme Dixon said redundancy packages would be offered to staff before the end of the week, saying the company was still committed to maintaining its operations in central Victoria.
It's been caused by the global economic environment. The conditions are unprecedented," Mr Dixon said.
"It has been tough here for a while. Our staff have been well aware of that.
"Trading and business conditions have been difficult.
"We want to maintain a viable operation going forward. We have a good skills base. We want this business to continue to be a viable part of Ballarat."
The FMP announcement comes after liquidators moved in on valves and fittings factory John Valves, also in Ballarat, which employed 125 workers.
The company closed in October owing millions of dollars to creditors.
Further comment was being sought from FMP Group and unions.
AAP