Cascades closes Pickering plant
March 13, 2006 By Pulp & Paper Canada
Roughly 66 people will be out of a job when Cascades goes ahead with the announced closure of its conversion plant …
Roughly 66 people will be out of a job when Cascades goes ahead with the announced closure of its conversion plant in Pickering, ON.
Cascades Tissue Group has elected to shut the facility as part of a larger reorganization plan, however, the company has confirmed that, ‘unlike the other closures recently announced, this one does not result from operational problems related to a non performing plant nor from bad market conditions.’ Cascades contends, ‘the tissue market is doing well,’ and that, ‘the costs resulting from this closure are not material and will be fully offset by the yearly savings that will be generated.’
The company’s decision to close the plant despite the strength of the tissue market has sparked a blistering attack by the Communications, Energy and Paperworkers’ Union. “The company says the Pickering plant makes money and that the market for the product is vibrant. But the plant is closing and 70 people are put out of work anyway. It makes no sense,” said Cecil Makowski, of the CEP. “This closure does nothing but add to the growing crisis in manufacturing job losses in Ontario.”
The plant converts paper towels and bathroom tissue for commercial and industrial markets. The equipment used in the facility will be sent to other mills and plants the company owns in both Canada and the U.S.
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