The tobacco producer British American Tobacco in Denmark shuts down its cigarette production at Søborg north of Copenhagen. The consequence is that about 500 jobs are eliminated. The closing down will be completed in 2011.
»Unfortunately, the reality is that we have to make a painful decision. We recommend that the factory at Søborg is closed down,« said Peter Dalsberg, senior vice president operations, BAT Denmark A/S.
The current production volume at Søborg will gradually be moved to other factories in Europe. Thus the labour force at the Danish factory will gradually be reduced.
The company has proposed a social plan in order to assist the employees.
»The factory has a competent team of employees, and we are grateful to our workers for their commitment and loyalty through many years,« said Peter Dalsberg.
He explains that the social plan reflects that the company is anxious to give its workers a fair treatment in connection with the closing down.
Since the end of September it seemed that a closing down would be the final result. The decision has been taken on the basis of a thorough analysis of possible alternatives to a closing down.
The analysis was carried out after a report on September 30 had shown that the Danish factory was particularly wage-intensive compared to other European BAT plants.
The total cigarette consumption has been falling in Western Europe. Therefore it is necessary to balance demand and factory capacity in the region, the company said. Ritzau/BNS
»Unfortunately, the reality is that we have to make a painful decision. We recommend that the factory at Søborg is closed down,« said Peter Dalsberg, senior vice president operations, BAT Denmark A/S.
The current production volume at Søborg will gradually be moved to other factories in Europe. Thus the labour force at the Danish factory will gradually be reduced.
The company has proposed a social plan in order to assist the employees.
»The factory has a competent team of employees, and we are grateful to our workers for their commitment and loyalty through many years,« said Peter Dalsberg.
He explains that the social plan reflects that the company is anxious to give its workers a fair treatment in connection with the closing down.
Since the end of September it seemed that a closing down would be the final result. The decision has been taken on the basis of a thorough analysis of possible alternatives to a closing down.
The analysis was carried out after a report on September 30 had shown that the Danish factory was particularly wage-intensive compared to other European BAT plants.
The total cigarette consumption has been falling in Western Europe. Therefore it is necessary to balance demand and factory capacity in the region, the company said. Ritzau/BNS
