Mystery today surrounded the future of Colchester engineering company Paxman Diesels.

Callers asking about the future of the Hythe Hill site are being played a recorded message.

It informs them that parent company Alstom plans to sell off its engineering division, along with its fluids, mechanical and handling systems.

But bosses at Paxman's are keeping tight-lipped about their company's future, referring all queries back to the recorded message.

Alstom wants to sell off most of its smaller firms, of which Paxmans is one, because they do not make enough profit. It has set a date of April 2000 to complete the sell-offs.

Colchester MP Bob Russell said today: "I am very concerned about this, but I have been given categorical reassurances in the past that there is no intention of doing away with Paxman's in Colchester."

The firm is one of Colchester's biggest employers, although now has a workforce of 380, compared to 2,500 in its heyday, and has been regularly laying off staff in recent years.

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