Jabil Inc. is closing a medical plant in Knittlingen, Germany, and a plant in Florence, Ky., over a lack of demand and relocations of customer operations.
Jabil's closing of the Florence-CAMS site will result in 108 employees losing their jobs on Dec. 6, according to a Sept. 30 Worker Adjustment and Retraining Notification letter.
"All affected employees have been notified of their separation dates and that this action will be permanent," the notice said.
None of the employees being laid off are represented by a union and none have bumping rights.
"Due to a relocation of customer operations to another Jabil site, we have made the difficult decision to permanently close our Florence, [Ky.] CAMS site," a company spokesperson told Plastics News. "Jabil has two other facilities located in Florence and its operations at those facilities will not be impacted by the closure of the … CAMS site.
CAMS stands for Cloud After-Market Services. The Florence site produces telecommunications and cloud products.
"The facility is assessing transfer opportunities to Jabil's other Florence facilities for affected employees," the spokesperson added. "We are committed to supporting employees who will not transfer with severance benefits and career outplacement assistance. They are also encouraged to apply for open positions with the company.
"Jabil must continuously optimize operations and align manufacturing capacity to meet the needs of a dynamic marketplace," the spokesperson said.
In Germany, the "core customer at Jabil's Knittlingen ... site decided to disengage from the site due, in part, to a significant change in demand for the product manufactured at the site," the spokesperson said. "Unfortunately, Jabil was not able to find new business for the Knittlingen site and therefore made the difficult decision to close the facility."
The Jabil Healthcare production plant made medical plastic parts for diagnostic consumables.
The company held an online auction to sell 40 machines and other equipment on Nov. 14, including 16 Engel 100-300-ton molders, 13 Ferromatik Milacron 50-155-ton molders and six Netstal Elion 80 -175-ton molders.