Having already announced the closure of three sewing facilities in May, US-based producer of innerwear, outerwear and hosiery Hanesbrands Inc. has announced that it will close nine further plants in four countries and will cut approximately 5,300 jobs. The closures are part of a multi-year consolidation strategy implemented by the firm when it was spun off as an independent company in September 2006.
The company will close plants and operations in Canada, the Dominican Republic, Mexico, the United States and Puerto Rico, and will move production to lower-cost operations in Central America and Asia. In addition, approximately 350 management and administrative positions will be eliminated, the majority of which are based in the USA.
In Canada, the company's intimate apparel fabric cutting plant in Montreal will cease production, affecting approximately 50 employees and production will shift to Asia. In the Dominican Republic, the company will close sewing plants in Santo Domingo and Santiago, shifting production to company sewing plants in Central America and Thailand. These closures will affect approximately 2,500 employees. In Mexico, production will cease at sewing or fabric cutting plants for knit products and intimate apparel in Cadereyta de Montes, Madero, Merida and Nueva Rosita, affecting 2,200 employees and production will be shifted to Central America and elsewhere in Mexico. In Puerto Rico, the company will close its innerwear fabric cutting plant in Vega Baja, employing approximately 150, and move production to company cutting plants in Central America and Thailand. In the USA, intimate apparel fabric lamination and sewing in Statesville, N.C., with 70 employees, will cease operations and shift to Central America.