Berry Global Group Inc. is closing a film plant in Edmonton, Alberta, ahead of a spin off of a portion of the company.
Unifor, Canada's largest private sector union, is criticizing the Evansville, Ind.-based company for what it says is permanent closure of Berry's plant in Edmonton, a move that cuts 58 union members, the union said.
The facility makes and customizes "plastic film, which is then used for building greenhouses and wrapping haybales in the agricultural industry," the union said.
Berry could not be reached for comment.
The union said Berry is closing the site because of a "shrinking agricultural industry," a stance Unifor questioned.
"We don't believe when Berry says that the agricultural industry is shrinking, it seems like they didn't try very hard to compete since purchasing this location over two years ago," said Local 21-A President Stu Olson in a statement.
A slowdown in business resulted in temporary two-week shutdowns in 2023, the union said. "Now they are completely shutting down the operation with barely any notice. From our members perspective, this company have run this plant far worse than its predecessors," Olson alleged in his statement.
News of the reported closure comes as Berry Global enters the final phases of spinning off its Health, Hygiene and Specialties global nonwovens and films business in a transaction that will merge those operations with Glatfelter Corp. The new company will be called Magnera Corp.
Berry, which had grown and diversified through a series of acquisitions over the years, is making the move to better focus on its global containers business. Magnera will be a $3.6 billion company, with Berry shareholders owning 90 percent of the firm and Glatfelter shareholders holding 10 percent. Berry will become a $10.2 billion company.
Glatfelter, a publicly traded nonwovens company based in Charlotte, N.C., will bring $1.4 billion in annual sales while Berry's divested businesses will add $2.2 billion, the companies have said.