Up to 140 jobs are to go at the industrial concern, SIG Holding, as the company continues its efforts to re-focus on its packaging business.
The jobs are to go over the next two years at the company's factory in Eclubens. The cuts will be partly offset by the creation of around 80 new jobs at other plants.
SIG said the changes were needed to eliminate duplication and to give the packaging business a clearer profile.
SIG has also decided to sell its remaining small arms activities to the same two German investors who bought its hunting weapons and pistol businesses last month.
The deal with SAN Swiss Arms will take effect at the beginning of next month.
The sale of the weapons business will lead to the loss of 90 jobs.
swissinfo with agencies