The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Manufacturing Manufacture Of Tobacco Products Manufacture Of Tobacco Products 12 - Manufacture of tobacco products
184 jobs Number of planned job losses
95 jobs Number of planned job creations
Announcement Date
27 September 2007
Employment effect (start)
1 September 2009
Foreseen end date
Description
Japan Tobacco, a firm that produces tobacco products, is to close its plant in Cardiff with the loss of 184 jobs. The site in Cardiff produces cigars, and is due to close in September 2009. The production at the Cardiff plant will be moved to Ballymena in Northern Ireland, at which 900 are employed and where 95 jobs will be created as a result of the move. Management at Japan Tobacco attributed the decision to falling sales, and also noted the influence of the UK pub and restaurant smoking ban that was implemented in 2007. A spokesman for the firm stated:
‘The decision is a result of a continuing decline in the UK cigar market, and has been accelerated by the smoking ban… Commercially it is not viable to keep the Cardiff factory open.’
Joan Gallagher, Secretary of Grangetown Community Concern, a local Cardiff community group, stated:
‘It's a great blow to the area, [the factory has] been a big employer for many years. Whole families have worked there, particularly women’.
Ian Paisley, Northern Ireland Assembly Member for North Antrim, said it was ‘sad news for Cardiff but of benefit to Ballymena.’
‘It is a vote of confidence in the Ballymena plant and will mean a significant increase in jobs in the locality.’
Sources
27 September 2007: BBC News
Citation
Eurofound (2007), Japan Tobacco, Outsourcing in United Kingdom, factsheet number 65874, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/65874.
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