Factory Fallout: Manufacturing layoffs from Volkswagen, Sunlite Plastics and more

Our latest digest of manufacturers shutting down factories and issuing layoffs includes companies in automotive and more.

In this edition of Factory Fallout, layoffs his automotive, food and other industries. Precarious times for organizations mean precarious times for workers as leadership decides where to cut. Volkswagen’s restructuring comes with job losses as the vehicle giant cites Chinese competitors and U.S. tariffs. Employee representatives, who have half of the seats on the board, protested the plan as it was developed over the summer. 

Volkswagen’s board approved a restructuring plan announced Sept. 3, that calls for about 50,000 job cuts and the end of auto production at four German plants, according to The Associated Press. The company plans to phase out production at plants in Emden, Zwickau, Hannover and Neckarsulm between 2031 and 2034. In addition, the company plans to tighten its vehicle model lineup by about 50%. 

Sunlite Plastics plans to permanently lay off 41 employees at its Germantown, Wis., facility, according to local news reports and the company’s WARN filing on Sept. 25. Sunlite Plastics is a medical tubing manufacturer serving the medical device market. The layoffs affect production, packaging, maintenance and operations positions following a reduction in orders from its primary customer. The layoffs are scheduled to take effect by Dec. 7.

Ozark Materials, owned by PPG Industries, will close its Greenville, Ala., manufacturing plant and lay off 52 employees, according to WSFA 12 News on Sept. 23. Ozark Materials manufactures and supplies products for roadways as part of PPG’s Traffic Solutions business. According to PPG, the closure is part of a reorganization of its Traffic Solutions operations in support of long-term operational stability. The facility is scheduled to cease operations Nov. 30. 

Pearson’s Candy Company has closed its St. Paul, Minn., manufacturing facility and laid off 80 employees, according to ABC 6 News. The closure is scheduled for Sept. 28. Pearson’s is a food and beverage manufacturer that produces confectionery products, including Salted Nut Roll and Nut Goodie. The facility closure and layoffs occurred on Sept. 28. 

This piece was created with the help of generative AI tools and edited by our content team for clarity and accuracy.
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