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September 05, 2023 01:57 PM

Change from manufacturing to distribution at Berry site will cost 82 jobs

Jim Johnson
Senior Reporter
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    berry woodstock plant_i.jpg
    Berry Global Group Inc.
    Berry has operated the Woostock, Ill., plant since 1998.

    Berry Global Group Inc. is converting an Illinois manufacturing site into a distribution center, a move that will cost more than 80 jobs.

    The Evansville, Ind.-based global plastics packaging and products company indicated the Woodstock, Ill., facility currently makes closures and overcaps.

    The Illinois Department of Commerce and Economic Opportunity indicated it received a notification from the company about the move but would not immediately provide the correspondence.

    The state said online that the facility is closing, putting 82 people out of work. The first layoff date is Nov. 1. But the company, in an email, said the facility actually will continue to be used differently.

    "On Aug. 30, 2023, Berry Global Inc. announced that it will convert the Woodstock, Ill., manufacturing facility to a distribution center. The decision is in support of the company's efforts to streamline operations and increase capacity utilization," Berry said in a statement.

    Berry has run the site since buying the injection molding facility from a subsidiary of Akzo Nobel in 1998.

    Earlier this year Berry announced a manufacturing reorganization that includes the closure of 20 sites. Berry initially indicated it was looking to close 15 locations, but later increased that number.

    Report: Berry announced Sept. 8 it may be selling its Health & Hygiene unit.

    Berry has been relatively quiet about the plans. The company has declined to release a full list of the impacted locations, instead confirming specific site closures when asked.

    A previously filed quarterly report with the U.S. Securities and Exchange Commission provided some details.

    "In total, over the next three years, these plant rationalizations are projected to cost approximately $200 million with the operations savings intended to counter general economic softness. The plant rationalizations are expected to be fully implemented by the end of fiscal 2025," the company said in the filing.

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