The workers were awarded a highly publicised record compensation of 28,000 each last September by the Employment Appeals Tribunal who said that their dismissal after joining the Siptu union was "grossly unfair".

The Northern Ireland-based employer, Eamon Murray, appealed the decision to the Circuit Court last March. But on the steps of the court a compromise deal was reached whereby Murray agreed to pay the workers 10,000 each.

Murray gave Siptu official Irene Donegan a cheque for 120,000, which he postdated to 26 April last. But despite assurances, the cheque bounced last week.

"The Latvians are totally devastated. They cannot understand how this can happen.

"They lost their jobs and their accommodation over a year ago and while some of them have picked up part-time employment in the area, others are still unemployed. It was hard enough to convince them to accept the compromise deal, " said Donegan, who represented the Latvians.

"One Latvian went to Galway to open a curtain-making business and is desperately in need of the money, " said Donegan.

The compromise deal reached on the steps of the Circuit Court provided that Murray would be pursued for the full 300,000 if the cheque was not honoured.

Siptu solicitor, Kieran O'Brien, said that he would now register a judgment against Murray in the Circuit Court for the full amount in the next few weeks.

But Murray has since returned to Northern Ireland and has no assets left in the Republic.

O'Brien admitted that while he will seek to have the judgement registered in Northern Ireland, this will take time and money.

"But we will pursue him across the border, " warned O'Brien.

However, Andrew Turner of Hamilton Turner solicitors, which represents Murray, said that he was "confident something could be worked out".