Home product maker Tupperware Brands made a drastic move this week in an attempt to improve its bleak financial position. The company, which was close to bankruptcy last year, announced it is closing its last remaining manufacturing plant in the United States.
The company said on Tuesday that it had already sold the plant in Hemingway, South Carolina, and will permanently shut it in January 2025. Around 150 workers will lose their jobs as a result.
Tupperware will move the production to its factory in Lerma, Mexico, where the majority of its products are already being made. The decision was likely prompted by cheaper labor costs as well as an increasing customer base in the region.
“It’s important to note this decision is not a reflection of the performance of the Hemingway team,” Tupperware said in the statement announcing the news. “We appreciate each of our valued team members and the many years of service they have dedicated to our salesforce and to the Company.”
Tupperware has struggled with profitability and mounting debt for several years now. It expressed doubt to continue operating in a Securities and Exchange Commission (SEC) filing back in April 2023 before embarking on a restructuring process that saw the company cut costs and streamline its production.