A company that manufactures packaging for the food industry will close a facility in Wilson on Aug. 2, resulting in the loss of 70 jobs.
However, Placon employees who remain with the company through a 60-day notice period that ends on Sept. 22 will receive a bonus in their last paycheck, the company reported in paperwork filed with the N.C. Department of Commerce.
“The reason for the closure is that Placon has experienced a significant drop in sales and revenue company-wide, but especially for the lines of business performed at the Wilson location,” the company wrote. “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.”
A few employees will remain at the site until Nov. 22, to oversee the closure of the facility, the company reports. All employees have been notified. Workers are not a part of a union and bumping rights do not exist.
Wilson County’s unemployment rate in May was 5.4%, second highest in the state. The state’s unemployment rate in June was 3.6%. On Tuesday, Wilson County residents received better economic news when Maine-based IDEXX Laboratories announced it would invest $147 million and create 275 jobs by opening a veterinary diagnostic manufacturing facility there.
Placon, based in Madison, Wisconsin, acquired the former Sonoco packaging operation in October 2021. At the time, Placon officials reported the company would hire 80 workers and take over the 112,000-square-foot facility.
Placon has other manufacturing facilities in Madison, Wisconsin, Elkhart, Indiana, Plymouth, Minnesota, and West Springfield Massachusetts. Placon was founded in 1966 after its founder, Tom Mohs, built a small thermoforming machine in his basement. A plastic jewelry box was the first product produced. Placon’s customers now are in the food, medical and retail markets.
Company officials could not immediately be reached for comment.
