Tyco Plastics & Adhesives has shuffled its British operations by closing two polyethylene film facilities, preparing to shut down a third and expanding a fourth.
The moves are part of a restructuring launched last year, spokesman Jay Pomeroy said by phone from Tyco Plastics headquarters in Princeton, N.J. Including the shutdowns in England, Tyco Plastics has closed 20 plants and laid off about 1,500 people since November, Pomeroy said.
While the closings have led to a loss of jobs, they also have made the company more efficient and better able to manage costs, he said. The shifts in the United Kingdom film plants fit the same goal, he added.
``There will be cost savings and productivity enhancements by putting all that capacity under one roof [in England],'' Pomeroy said. ``We can better manage it. It's all in line with getting our plastics business as competitive as it possibly can be.''
The company closed a low density PE film converting plant in Oxford, England, in January and shut an extrusion, printing and conversion facility in Pyle, England, at the end of June, Pomeroy said. Another LDPE film extrusion and converting operation in Wrexham, England, is slated to close in October, he added.
Meanwhile, Tyco is investing $3 million to expand its film plant in Brighouse, England, adding a 38,000-square-foot building and a smaller sales and service office, he said. Some equipment from the other film plants will be moved to the expanded site, which will be about double the size of its current space. The Brighouse expansion should be completed in November, he said.
The changes will mean the net loss of about 15 employees, with some staff hired for additional work in Brighouse, Pomeroy said.
Tyco has three other manufacturing sites in England. The company is owned by Tyco International Ltd., a conglomerate with its operational headquarters in Princeton.