Lactalis Plant Closure in Miercurea Ciuc: Impact on the Community
A Blow to Local Employment
The decision by the Romanian unit of Lactalis to shut down its production plant in Miercurea Ciuc is expected to have a significant impact on the local community. As reported by Bucharest-based media, the closure is part of a strategic plan to consolidate Lactalis’ local business operations. However, this move will result in the collective redundancy of 95 employees currently working at the Miercurea Ciuc unit.
Support for Affected Employees
In response to the closure, Lactalis has stated its commitment to providing financial compensations to the affected employees, as well as offering counseling for professional reintegration and support for potential retraining. Despite the closure process, the production plant will continue to function at current parameters until the finalization of the closure process, ensuring a smooth transition for both employees and operations.
Reinforcement of Investment Commitments
Despite the closure of the Miercurea Ciuc unit, Lactalis remains dedicated to its investment and development commitments in Romania. The company’s CEO, Onur Barim, emphasized this commitment, highlighting the group’s significant investments in the country over the past five years, totaling over 60 million euros ($64.3 million). For the current year, Lactalis has planned investments of over 13 million euros, demonstrating its continued confidence in the Romanian market.
Consolidation of Operations
Following the closure of the Miercurea Ciuc unit, Lactalis will consolidate its future investments in Romania at its production plants in Oiejdea, Sfantu Gheorghe, Campulung Moldovenesc, and Tunari. This strategic decision aims to streamline operations and enhance efficiency, ensuring that Lactalis remains competitive in the Romanian dairy market.
Continued Presence and Contribution
Despite the closure of the Miercurea Ciuc unit, Lactalis remains a significant player in the Romanian dairy industry. The company owns several well-known dairy product brands in Romania, including Albalact, Covalact, Raraul, LaDorna, Fulga, and Zuzu, employing 2,000 people at five factories in the country. Lactalis Group’s commitment to the Romanian market is further underscored by its status as the largest milk collector in Romania, processing over 244 million liters of milk annually.
Conclusion
While the closure of the Miercurea Ciuc production plant is undoubtedly a challenging development for the local community, Lactalis’ commitment to supporting affected employees and continuing its investments in Romania provides a glimmer of hope. The consolidation of operations and reinforcement of investment commitments demonstrate Lactalis’ long-term commitment to the Romanian market, ensuring its continued presence and contribution to the local economy.
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