Rexam’s French cosmetics packaging arm cuts jobs

The job cuts will be split between two of the company’s sites, in Simandre in Burgundy and in Reboul in the Rhône Alpes region, and are part of a larger restructuring plan affecting the Make Up group in the country.

According to Rexam this sector of the business has been particularly badly hit by the global crisis with sales dropping 30 per cent compared to the same period in 2008.

Make-up sales plummet​

French sales in the Make Up sector were even worse, dropping more than 50 per cent from the comparable period in the previous year.

The restructuring will allow the company to give each site a specialised function as well as simplifying the management structure and support systems of the plants.

Innovation resources for the two sites will also be combined in an attempt to increase speed to market time for new products.

Losses mount in 2009​

The company has estimated combined losses from the two sites for 2009 will be in the region of €11m.

Rexam claims it is currently in negotiations with employee representatives and is aware of its responsibility to those affected by the cuts.

The job cuts are a necessary step to stem the effect of the global crises on the business and the move is in no way reflective of the quality of the company’s workforce, according to Rexam.

Rexam says it is confident the move will leave it in a stronger position to succeed when the market recovers.