UPM Raflatac to cut manufacturing operations

5 August 2013


UPM Raflatac is planning to reduce labelstock production capacity in Europe, South-Africa and Australia "to secure cost competitiveness and profitability in low growth markets". The planned actions are estimated to result in annual cost savings of about €12 million starting from the beginning of 2014.

The plan is to close the labelstock factory in Martigny, Switzerland, the coating operations in Melbourne, Australia and Durban, South Africa, as well as the slitting and distribution terminal in Johannesburg. Up to 170 positions are likely to be affected.

Working time and shift changes and reductions are also planned in France, Spain and the UK. The product range, service and deliveries offered to customers will not be impacted, the company states.



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