Up to 36 staff are set to lose their jobs at Polestar Greaves after the firm said it was decommissioning one of its two KBA TR4 gravure presses.
Most of the proposed job losses at the Scarborough plant will be in the print room with some from the warehouse and other areas.
Group operations director Chris Pavlosky said the press was at the end of its useful life after 22 years.
"There is room to retire old technology and have more productivity, quality, performance and flexibility through investment such as our new gravure press at Purnell."
The firm went into a 30-day consultation period with the GPMU on Monday.
Richard Watson, deputy secretary of the Wolds branch, said: "We hope to reduce the number of redundancies."
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"Well done all involved... great to see the investment to increase the productivity in the same footprint- much more sustainable than popping another one up."
"From 1949 until the late 2000s Remploy had a network of government-subsidised factories that offered employment specifically to disabled people, originally often war veterans or victims of industrial..."
"Does appear an odd decision as with that level of shareholder funds they would be liable for the staff redundancy and cover the insolvency costs. It’s not like they could take the money and dodge..."
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