Montrose was plunged into a jobs crisis last week after news was leaked that the oil production supply company is considering axing the positions from its local factory.

A meeting has now been held between local Councillor David May, Angus Council's head of economic development, David Valentine, VetcoGray regional leader, Matt Corbin and the company's human resources manager.

At the discussion VetcoGray said that the recruitment company would be working on-site over the next few months, to help the employees affected to find new jobs.

Mr May said: "The meeting went very well and was very positive, as the company said they have a long-term future in Montrose.

"They said the staff here in the town have been very professional, loyal and highly committed over the last 25 years.

"They are setting up the process of a consultation exercise with representatives of the workforce which will happen in the next few weeks. The group will then decide how to move forward.

"We asked about which jobs will be going, but this will be discussed with the workforce first.

"I can assure all those who are affected that we, as a council, will do all we can to help them find alternative employment."

The news comes just weeks after pharmaceutical firm GlaxoSmithKline announced 55 permanent jobs are to go at its Montrose factory, joining the 69 temporary staff set to leave the factory by the end of the year.

As the town deals with the latest jobs blow, local Councillor Paul Valentine has told the Review that not all of VetcoGray's employees were made aware of the redundancies before the council heard the news.

Mr Valentine worked for the company before he became a councillor. He said: "I've spoken to a couple of people. One of them was off shift and hadn't heard about it.

"I phoned him up to get a bit of reaction and I ended up being the one who gave him the bad news. I wasn't very happy about that.

"I really would have thought all the staff would have known about these cuts before we (the council] were told. I felt really bad phoning him and intending to ask for a reaction – but ending up having to tell him the news.

"I don't think it was deliberate by Vetco, it was obviously accidental. But it is not a good way to keep the staff motivated or keep morale high when they find out this news via a third party."

A spokesperson for VetcoGray said: "VetcoGray leadership addressed employee groups of its proposal to establish Charleton Road as a dedicated facility for its UK/Continental Europe (UKCE) Global Services business.

"To ensure all affected employees were reached, several separate announcements were made at various time intervals throughout the day to employee groups with the final announcement being made at 9pm.

"Employees were advised, as part of the proposal announcement of the potential for job losses."

A letter sent to staff blamed the massive job cuts on the total overhaul of operations, which includes a £2.75million upgrade and expansion programme at its Charleton Road plant.

The company's spokesperson said: "The global Credit Crunch has not played a part in this decision. VetcoGray has identified a tremendous business opportunity to build and grow its Global Services business by consolidating its local services activities to one site (Charleton Road) that is big enough to absorb the expected growth.

"To maximize existing capabilities, most manufacturing work will be moved to other VetcoGray manufacturing sites that are already producing similar products.

"This is a difficult but necessary proposal to position us for the future growth of the Global Services business and long-term success of the Company."

Angus MP Mike Weir said his thoughts were with the employees and their families who face a very difficult time.

He said: "The news of the changes at VetcoGray, coming so soon after the news of forthcoming redundancies at Glaxo, is a heavy blow to the local economy."

"The company have indicated that they wish to make a substantial investment in the Montrose facility. They have indicated to me that they have a continuing commitment to the Montrose area and I am seeking a meeting with the management to discuss in more detail their plans for the future of the Montrose facility."