Simmons Closes Ontario Manufacturing Facility Due to Work Stoppage

Sept. 8, 2008
Plant's production will be shifted to other facilities.

Simmons Canada, one of the largest mattress manufacturers, announced on Sept. 8 that it is closing its Ontario, Canada manufacturing plant effective immediately due to an unacceptable loss in revenue and customer business caused by the recent Canadian Auto Workers Local 513 work stoppage at the facility.

"The decision to close our Ontario plant was not an easy one, but we feel it is necessary in order for Simmons Canada to maintain its market share and preserve our customer base," said Simmons Canada President Paul BognarBognar.

A significant portion of the plants production volume will continue to be manufactured in Canada; approximately 25% will be handled by Simmons Canada facilities in Kirkland, Quebec and Calgary, Alberta with the remainder carried out by Simmons U.S.A. plants in Janesville, Wisc. and Hazelton, Pa. The same four facilities have handled the Ontario plants product orders since employees initiated a work stoppage on August 15.

With the closure of the facility come the layoffs of 145 associates and eight administrative personnel, who are represented by the union.

Atlanta-based Simmons Co., through its indirect subsidiary Simmons Bedding Co. operates 20 conventional bedding manufacturing facilities and two juvenile bedding manufacturing facilities across the U.S., Canada and Puerto Rico.

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