Avery Dennison is to close its office products facility in Gainesville, Georgia, in September – a move that is expected to cost the company $9 million – $11 million.
The plant’s operations will be shared between existing operations in Mississippi, Massachusetts and Mexico.
Spokesperson for the company Charlie Coleman told OPI: "Avery Dennison constantly evaluates its operations, including cost pressure, competitiveness and economic conditions."
As many as 175 staff members will lose their jobs as a result of the closure, which is expected to incur $4 million – $5 million in costs alone.
Avery Dennison posted an impressive 41 per cent jump in profit to $83.6 million for its recently reported Q4, largely thanks to an increase in orders from major clients in the office and consumer products segment.