Paper machine shutdown leads to expected layoffs
Illustration / Matt Selva
Forty-nine workers are expected to be laid off following the shutdown of a paper machine in July at a Twin Rivers Paper Co. paper mill in Madawaska.
Forty-nine workers at a Twin Rivers Paper Co. paper mill in Madawaska are expected to be laid off following the shutting down of a paper machine in July as part of a $12 million investment that will see upgrades to another paper machine, allowing it to produce a new grade of paper.
In a release announcing the investment and subsequent layoffs, Twin Rivers said that PM3, the machine being shut down, is one of the Madawaska mill’s oldest and costliest.
The $12 million investment in PM8 will enhance the machine’s capabilities, allowing it to produce lightweight technical packaging and specialty labels. According to the company, the investment will make PM8 one of the largest producers of the products in North America.
“Twin Rivers does not take these decisions lightly, and we recognize they will impact employment for approximately 49 of our valued associates. We will work closely with these individuals and the unions to facilitate this transition, and provide whatever resources are available to assist them,” Twin Rivers’ COO John Reichert said in a statement. “At the same time, we have a responsibility to make strategic decisions for the future of the company, our approximately 1,000 associates and the 5,800 people who rely on Twin Rivers’ operations across the regions in which we operate.”
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