Vacuum cleaner manufacturer Dyson wants to sell off part of its land for housing.
The Malmesbury firm has put in an outline planning application to use a 97-space car park on the south east side of the factory for homes.
The bid comes just days before production line workers are due to lose their jobs. The last shift will end on September 27 at 7am. Then 590 people will be redundant because the firm is to move the manufacture of its vacuum cleaners to Malaysia.
County Councillor for Malmesbury, John Thomson, said: "I think this is just Mr Dyson testing the waters to see if he can totally withdraw from Malmesbury.
"I am sure the community will not support this at all. It is an industrial site and we should not give him any way out of the situation he has got himself into.
"It should stay an industrial site. He took the decision to go into Malaysia he will have to cope with that decision to go and face the consequences.
A Dyson spokesman said: "Malmesbury is an important area to Dyson.
"Our research and development and washing machine production will continue to employ 1,000 people.
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