About 50 jobs are set to go at Fife manufacturing firm Burntisland Fabrication’s (BiFab’s) Arnish yard over the next week as work has dried up at the site.
It is understood that 35 jobs were shed yesterday while another 15 are planned to go next week.
The GMB trade union described the move as “another nail in the coffin” of the green jobs revolution.
BiFab’s Canadian owner DF Barnes confirmed the job losses, but added that it was “confident” of potential new contracts coming in for the firm.
A spokesman said: “DF Barnes has been successful in securing new work for BiFab and, with the support of our great workforce, have brought jobs back to Arnish and Methil.
“We are very confident that more will follow.”
BiFab secured a contract to build 100 pin piles for the Moray East Offshore Windfarm, creating 100 jobs and revitalising the Lewis facility back in March.
But with those structures now being shipped out to the Moray Firth site the future of the firm hangs in the balance.
In July, it was revealed that BiFab had secured work for eight of the 53 jacket foundations for the Neart Na Gaoithe (NnG) offshore wind farm off the coast of Angus.
It is thought the deal could create up to 200 jobs at the firm’s Methil yard in Fife, but no contract has yet been agreed.
BiFab was rescued from the brink of administration by the Scottish Government in a £25 million agreement in 2017 before being purchased by Canadian firm DF Barnes in April 2018, although hundreds of jobs were shed.
The firm at one time employed almost 1,400 staff.
GMB Scotland secretary Gary Smith said: “The wind-down at Arnish is not unexpected but with no new contracts on the immediate horizon, this represents another nail in the coffin of the so-called green jobs revolution.”