Pregis LLC is closing a manufacturing plant in Southern California, a move that will impact 45 jobs. But workers are being offered positions elsewhere in the company.
The Chicago-based company will shutter a plant in Pomona in the coming weeks, and workers there have the opportunity to transfer to the company's site in Visalia, Calif., about 200 miles away.
"It's really just as part of continuous improvement. Always looking at network optimization, where you can do things in a more streamlined, efficient manner," said Daché Davidson, chief marketing officer for Pregis.
"That's just a good, responsible business practice to continuously evaluate those opportunities and to make those tough calls," she said. "California is a costly area to operate, so there's some streamlined efficiencies by way of doing that consolidation."
The Pomona plant makes bubble cushioning and paper bubble mailers.
"After evaluating operations we were able to determine that we could relocate some of that manufacturing, put it under one roof," she said.
While Pregis is offering jobs to all of those impacted by the decision, the company does realize the distance between the two facilities. A lower cost of living in Visalia compared to Pomona, east of Los Angeles, could be a factor in whether employees decide to accept that offer, the company said. Visalia is located about 215 miles north of Pomona.
"We do hope that we can keep as many employees. Obviously, it's a move for some, but it's certainly our hope that we can relocate a lot of those longstanding employees that have been there," Davidson said. "For those that can't, we'll certainly assist them any way we can to help find new opportunities."
In a letter to the California Employment Development Department, Pregis indicated the Pomona site will close on or around May 30.
"This closure is expected to permanent. The expected date of the first separation will be between March 31, 2025 and April 13, 2025. Between March 31, 2025 and May 30, 2025, we expect all operations to cease through a gradual reduction of staff," the letter states.