A US-owned factory, which has been making elastic threads and tapes in Limerick for 30 years, may close as a result of an industrial dispute which has led to two-thirds of the 130 workers taking strike action for the last 13 weeks.

The management of Fulflex International yesterday announced that it is considering the immediate closure of the plant at Galvone. The company statement said the decision has been taken "because of the rejection of the SIPTU members of a Labour Court recommendation". The trouble began when a swipe card time recording system was introduced.