Workers at one of Leicestershire's biggest employers are being asked to work reduced hours or face redundancies.

Engineering giant Caterpillar (UK) announced proposals to axe up to 99 factory jobs at its Desford plant, at the end of last month.

However, following consultations, union members will today be balloted on whether to accept a 3.5-hour shorter week to safeguard their jobs.

Voting in favour of reduced hours would see staff working longer shifts in a four-day week.

The firm's bosses say they have been forced to take action because of a reduction in demand, but a shorter week would be a temporary move.

It is the latest in a string of cutbacks for the company, which announced in July that up to 200 staff would be axed. Of these, 120 people applied for voluntary redundancy and have now left the firm.

A spokesman for Caterpillar said today's ballot related to workers at its Building Construction Products (BCP) department, and not to Caterpillar Logistics Services, which is also based in Desford.

He said: "At the end of last month, as a result of the need to lower our production volumes to take account of the reduced demand for BCP division-manufactured machines, Caterpillar proposed up to 99 redundancies in its permanent workforce at Leicester.

"Consultation with employee representatives resulted in an alternative proposal to temporarily reduce the standard working hours for factory-based employees instead of executing the proposed redundancies.

"Today, the union will ballot their members on whether to accept the proposal.

"We regret these actions are necessary, however, it is ultimately in the long-term interests of our business.

"Caterpillar's focus is on making decisions and taking actions that will best position the company for long-term success and profitable growth."

One worker, who did not want to be named, said staff were angry that shorter working weeks would mean factory workers earning less while managers would stay on the same salary. He said: "I know we're in the middle of this financial nightmare. We can understand that because it's happening everywhere.

"It's the fact that it's only one group that is going to feel the pain. That's what's frustrating everyone on the shop floor."

The spokesman for Caterpillar did not respond to comments about bosses' salaries.

Tom Sawyer, regional spokesman for the Unity union, which represents Caterpillar workers, said: "The situation is that they have too many people for the amount of orders.

"The best option seems to be the shorter working week. Hopefully the ballot will see a result where people vote in favour of that."