Workers at Solihull-based Accantia could lose their jobs after the group announced it was considering permanently closing its Alum Rock road factory yesterday.
The owner of the skin-care brand Simple said around 150 staff could be affected if plans to out-source the manufacture of its Lillets feminine hygiene products went ahead.
Accantia said it was currently consulting with employees to try to find a way to resolve the situation.
But it warned that, if no alternative was found by the end of the 90-day period, the site would close at the end of July 2007.
A spokeswoman for Accantia said the firm would not be releasing details of the outsourcing plan under consideration.
She said: "At this stage all we can say is that we are looking at a number of options. Our priority is to do what is required of us and that is to focus on our staff and undertake the consultation."
The Alum Rock road site is the only factory Accantia owns. In 2003 the firm closed its second factory in Corby, choosing to out-source its soap, skincare and toiletry brands.