Tupperware Brands is closing its last operating plant in the U.S., located in South Carolina.
This significant move will result in over 100 layoffs as the company transitions its manufacturing to Mexico, aiming to consolidate production where it already makes many items sold in the U.S. and Canada.
Hemingway Feels the Impact
The shutdown of Tupperware’s Hemingway facility will displace 148 workers. This closure marks a profound change for the small town that has long hosted the plant.
Announced to begin in September, the closure highlights a pivotal shift in the company’s U.S. operations, headquartered in Orlando.
Countdown to Change
The countdown to closure begins with layoffs starting this September, leading up to the final shutdown on January 14, 2025.
Local news outlet WCBD detailed the timeline, emphasizing the phased wind-down of Tupperware’s last U.S. manufacturing efforts.
Reflecting on the Decision
In response to the impending closure, Tupperware stated, “It’s important to note this decision is not a reflection of the performance of the Hemingway team.”
This comment illustrates the company’s recognition of the employees’ hard work and dedication despite the strategic shift.
Honoring Employee Dedication
Tupperware publicly expressed appreciation for its team, saying, “We appreciate each of our valued team members and the many years of service they have dedicated to our salesforce and to the Company.”
This statement acknowledges the profound contributions of its workforce through the years.
The Final Sale
2023 saw Tupperware selling its Hemingway plant, its last manufacturing footprint in the U.S.
This sale was a precursor to the ultimate closure and layoffs announced for the coming year, signaling an end to an era of American manufacturing for the company.
Supporting Transitioning Employees
In the wake of the closure, Tupperware is offering severance and early retirement packages to affected employees.
Additionally, the company is taking steps to help these workers find new employment opportunities, aiming to soften the blow to the Hemingway community.
The Origins of Tupperware
Tupperware started in 1946, founded by chemist Earl Tupper in Massachusetts.
His invention of airtight plastic containers revolutionized how families stored food, significantly reducing waste and saving costs, which catapulted Tupperware into global popularity.
Economic Highs and Lows
The Hemingway plant, operational since 1976 during a peak period of demand, has seen the best and worst of times.
Recently, Tupperware has been navigating severe financial challenges that have influenced its business decisions significantly.
Financial Disclosure Concerns
This year, Tupperware reported in an SEC filing that it faced “substantial doubt” about its future operations due to financial struggles and insufficient liquidity.
These challenges illustrate the company’s ongoing battle with economic pressures.
Facing NYSE Delisting
Ongoing financial reporting troubles have put Tupperware at risk of being delisted from the New York Stock Exchange.
The company has already delayed its annual 10K filing for 2022 and anticipates further delays for 2023, which highlights deep-seated issues in its financial administration.
Looking Ahead Amid Uncertainty
Tupperware is striving to stabilize and continue its operations amid significant corporate turmoil.
The company commits to completing its overdue financial filings as soon as possible but acknowledges the uncertainty of these efforts’ timing, reflecting persistent internal challenges.
