Packaging manufacturer Placon Corp. is closing a plant in Wilson and laying off 70 workers, the company told state officials this week.
The Madison, Wisconsin-based company, which makes food containers out of recycled plastic, told the state Department of Commerce on Wednesday that it is closing its 140,000-square-foot facility at 2540 Wilco Blvd. by Aug. 2.
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The company ’s Wilson facility has focused on thermoforming — a process that involves heating a material and then molding it — for the food sector, according to the company's website.
Placon has experienced a significant drop in sales and revenue, particularly for the products made in Wilson, the company told state officials.
“After exploring many different options, we have come to the unfortunate and painful decision that we must reorganize and right-size our workforce across the company and close the Wilson, N.C. location,” Lori La Tour, Placon’s vice president of human resources and safety, said in a letter to commerce officials.
The letter was issued to comply with the Worker Adjustment and Retraining Notification Act, which requires companies to notify officials of mass layoffs.
La Tour said affected employees have been notified and that employees were offered the opportunity to stay with the company through a 60-day notice period, ending Sept. 22. Those who agreed to stay through the notice period were offered a bonus. Some employees are expected to stay at the Wilson site until Nov. 22 to oversee the closure of the facility, La Tour said in the letter.
The letter was dated Wednesday, a day after state officials announced an economic development deal that is expected to bring hundreds of jobs to Wilson.
Veterinary medical device firm Idexx Laboratories plans to build a $147 million plant and hire 275 people in Wilson County, commerce officials said Tuesday.