North East Wales

Tetra Pak in Wrexham set to close with 150 job losses

Tetra Pak, Wrexham Industrial Estate
Image caption Tetra Pak is considering ceasing production at its Wrexham factory, becoming a finishing warehouse

A cartons factory plans to stop production with the loss of 150 jobs in Wrexham.

Packaging giant Tetra Pak said the decision was "extremely difficult" but hopes to keep 135 out of 265 jobs in part of the business and by creating a warehouse.

It blamed changes in the export market which account for half its business.

Clwyd South MP Susan Elan Jones is "very shocked" and wants to meet management.

"My key concern now will be to ensure that the local workforce receive the best possible terms."

In a statement, the company - which has more than 21,000 workers worldwide - said it was starting a consultation on job losses at Wrexham industrial estate, where it has its UK headquarters.

Market changes included products being offered in other packaging formats.

Tetra Pak said it had been able to make up the losses by supplying export markets, including Russia and the Middle East, but these were now able to support themselves from 2011.

Rik Jacobs, Tetra Pak managing director for the UK and Ireland, said: "The decision to consult on Wrexham's future has been an extremely difficult one, but is necessary to ensure our continued competitiveness.

"If the proposal to close production in Wrexham goes forward, regrettably there will be significant restructuring and job losses."

Mr Jacobs said if the closure went ahead it would offer "fair and equitable severance packages over and above the statutory requirements".

The company, founded in Sweden more than 50 years ago, produces cartons and packs for milk and juices, as well as food and wine at the Wrexham plant, employing around 265 workers.

Around 115 staff would remain, with 20 more recruited under the proposals.

Tetra Pak set up in north Wales in 1979.

"Our proposal is that we will remain in Wrexham with around 135 jobs," said Mr Jacobs.

"We intend to create over 20 new jobs to operate a finished goods warehouse to service the UK and Irish markets and ensure we are in the right shape for future growth."

The consultation period with staff and unions will last at least 90 days.

Related Internet links

The BBC is not responsible for the content of external Internet sites