More than 150 jobs are set to be axed at the Bedfordshire base of defence firm Lockheed Martin.
Up to 158 employees could go at its armoured vehicles business based at Ampthill, according to the company.
It said it comes as a "direct result" of the Government's review of defence spending, which scrapped an upgrade scheme for the Warrior tanks that had been "a major programme" for the site.
Lee Fellows, vice president and general manager at Ampthill, said: “Despite the need for this workforce reduction, we remain a strong business, with a very talented, dedicated team.
"This exercise will ensure that we maintain competitiveness by delivering affordable products and services to customers while positioning for future growth opportunities that will benefit the facility in the longer term.
We remain committed to supporting impacted employees and providing whatever assistance we can during this difficult time.
The cuts will affect both direct and indirect employees and follow a "detailed review of the workforce at workload at the Ampthill facility".
Work to support the AJAX armoured vehicle programme along with programmes in the classified special projects and mission support areas remain unaffected, according to the firm. Lockheed Martin’s Ampthill facility, part of its Missiles and Fire Control business,currently employs around 900 people.
Across the globe, Lockheed Martin employs around 114,000 people.