Sonoco Plastics is set to close its thermoformed packaging plant in Carrickmacross, Ireland, as a result of a decline in orders and falling profits. The facility is scheduled to cease operations in November.
Jeff DiPasquale, Sonoco's vice-president and general manager of thermoforming, blamed "shifting market conditions and a financially challenging competitive environment". As a result, the company had made "the difficult decision to consider the shut-down of operations at our Carrickmacross packaging plant.
"This decision in no way reflects on the performance of our Carrickmacross employees who have always provided high levels of commitment, safety, quality and productivity," said Jeff DiPasquale, vice president and general manager, Thermoforming, Sonoco Plastics.
The Hartsville, S.C.-based company said that the Carrickmacross business had been experiencing a loss of volume and profitability for "several years" and this pattern is continuing through 2013, leaving no viable option other than to consider closure of the facility.
Some 50 jobs will be lost if the closure goes ahead.
"In the eventuality that this closure takes place, we are committed to working with each and every Sonoco employee affected by this decision. We would provide eligible employees with competitive severance, outplacement services and support in finding alternate employment," said Sean Cairns, vice-president of rigid paper and plastics operations for Sonoco in Europe.
Sonoco Plastics ranks No. 7 on Plastics News' annual survey of North American thermoformers.