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In April, packaging manufacturers spanning a variety of formats and materials announced layoffs and facility closures:
- Clearwater Paper is restructuring its solid bleached sulfate mill in Cypress Bend, Arkansas, and intends to halve production. The plan involves reducing the workforce there by 20%, or 70 employees; 50 people were laid off last month and 20 open positions were not filled. The company said it curtailed production due to the ongoing oversupply of SBS. Analysts estimate this shutdown removes from the market approximately 170,000 tons of SBS, or roughly 3.1% of the North American supply.
- Gerresheimer Glass is closing a plant in Chicago Heights, Illinois, and laying off 172 employees, according to a worker adjustment and relocation notification filed with the state in April. This facility manufactures glass packaging for pharmaceutical applications, according to the company’s website. In February, the German company noted in a news release that the facility would close by the end of fiscal year 2026 as part of a company transformation program, and production would shift to factories in India and Italy. Also in that news release, Gerresheimer announced that it would delay reporting earnings results and that it had hired a second auditing firm to review accounting irregularities that prompted German authorities to launch an investigation in September and expand the financial probe in February. The company reportedly rejected a takeover bid from Connecticut-based Silgan in April.
- Graphic Packaging International initiated layoffs, part of a restructuring plan that it had hinted at for months. GPI disclosed in its May 5 earnings release that the workforce reduction affected more than 500 employees. The layoffs reportedly began in April at various locations across the country, including in Georgia, Louisiana and Michigan. Roles include human resources and other corporate positions, including at company headquarters in Atlanta, as well as various operations positions in Louisiana and elsewhere. Executives spoke in November about investigating areas to cut costs, and in December disclosed plans to lay off employees to cut $60 million in costs in 2026.
- Oliver, a printing and packaging specialist, filed a notice with the state of Virginia that it plans to shut down its Chesterfield facility around July 21. The company will lay off 66 employees at that time, and six additional staff will remain until Sept. 18.
- TriMas confirmed in its earnings release on April 30 that it plans to close its packaging facility in Atkins, Arkansas, and move production to other sites by mid-year. “This was a difficult but necessary decision that aligns with our long-term strategy to optimize our manufacturing footprint, improve efficiency and remain competitive,” said President and CEO Thomas Snyder during the earnings call. TriMas expects the move will result in $500,000 of savings this year and $1 million on an annualized basis.
- Veritiv Visual, which specializes in packaging, printing and marketing services for retail and consumer brand customers, will permanently close its facility in Fullerton, California, according to a WARN filed with the state. The closure is slated for late June and is expected to affect 46 employees. This is one of Veritiv Visual’s four facilities nationwide.
