Orbis Corp. is closing a reusable packaging manufacturing plant in Wisconsin, consolidating production into a new Texas site.
The Oconomowoc, Wis.-based company indicated that a total of 109 positions will be eliminated with the closure of the Menasha factory. But the company indicated that some workers could be offered jobs at other locations operated in the Fox Valley region of Wisconsin by Orbis or an affiliated company, Menasha Packaging Co. LLC.
Both Orbis and Menasha Packaging are owned by Menasha Corp.
"Orbis currently anticipates that the employment terminations will begin on or about March 16, 2025. The terminations will likely occur in phases, depending upon the needs of the business as the work at the Menasha facility winds down," states a letter sent to both city and state officials.
Orbis President Norm Kukuk, in a statement provided to Plastics News on Jan. 16, said the company is making efforts to place impacted employees elsewhere.
"After a comprehensive strategic assessment of growth plans relative to our footprint and ability to modernize, we have made the decision to redeploy presses and equipment ... to other plants in the Orbis network. This plant has a long legacy and was pivotal in the history of plastic pallets. Our people are our priority and we are actively working to place them at other plants in our network," Kukuk said.
Orbis subsequently issued a news release further explaining the company's decision to close the Menasha plant.
The company indicated presses from that facility would be moved to other plants in the Orbis manufacturing network that includes 12 locations in the United States, Canada and Mexico.
"Orbis' Menasha, Wis., plant, which molds reusable plastic pallets and bulk containers used in food, beverage and industrial applications, was one of the first plastic pallet plants in the reusable packaging industry when it began operations in 1973," the company said in the release. "As one of the smallest plants in the Orbis network, it has minimal room for expansion or reconfiguration to accommodate modern automation."
The Menasha plant is 101,000 square feet, and a separate Material Innovation Center also in Menasha will remain open, Orbis said.
Orbis provided notice of the layoffs to comply with the federal Worker Adjustment Retraining and Notification Act (WARN), which requires larger employers to provide layoff notice of at least 60 days, as well as the Wisconsin Business Closing and Mass Layoff Law.
Menasha Packaging, headquartered in Neenah, Wis., calls itself "the largest privately held graphic packaging, promotional display, and supply chain services organization in North America."
Orbis revealed plans to expand into Greenville, Texas, in March 2024 by taking control of a former Rubbermaid production site that closed years ago.
That facility, Kukuk said at the time, allowed the company to expand its geographic footprint and increase production capacity. The company previously said it plans to add more than 190 employees in Texas within two years.