Avent Slovakia, a subsidiary of the Kimberly-Clark Corporation (U.S.), is to end its surgical gown-making operation in Piešťany (Trnava region) and dismiss all its 800 staff by the end of 2008, it was reported on January 21.
The company says it will close the factory after 11 years due to the need to cut costs.
"This is the largest redundancy in the town since the early 1990s, when Tesla was winding down," town council spokesperson Drahomira Moretová was cited by the TASR newswire.
The council is considering ways to help those made redundant to find new jobs. According to Moretová, some people may be placed in the field of tourism, in which investors have expressed interest.
The closure of the Piešťany factory is part of Kimberly-Clark's Global Business Plan in the health care sector. The American corporation denied claims that it was leaving for countries with lower costs after taking advantage of a now-completed tax holiday in Slovakia. Kimberly-Clark says that it is currently grappling with rising prices for raw materials and transport. TASR
Compiled by Zuzana Vilikovská from press reports
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.
22. Jan 2008 at 7:00