Sussex-based Quad/Graphics Inc. has closed its manufacturing plant in Leominster, Massachusetts and plans to relocate some of the work that was done there to Franklin.
Quad said in a media statement the plant closure, which affects 60 workers, is part of the company’s strategy to “optimize its North American packaging platform for continued growth.”
“The plant’s client work and assets, including state-of-the-art printing presses with high-end capabilities such as UV coating, will be transitioned to Quad’s other U.S. packaging facilities in Franklin, Wisconsin and Spartanburg, South Carolina, both of which provide highly efficient folding carton manufacturing and distribution for brands and retailers,” according to the statement.
The company is providing some incentives for former employees of the Massachusetts plant to relocate to either Franklin or Spartanburg. Quad did not immediately share how many employees plan on taking that offer. Employees are also being given separation packages that include pay, continued health care coverage and career counseling.
“Quad continues to aggressively push forward on its growth strategy as a marketing experience – or MX – company in which it services brands and marketers’ needs from end to end, including execution in all channels, including packaging,” reads the statement from the company.
Quad’s agency solutions segment, which includes its marketing services operations, saw continued growth in 2022. The company has made numerous acquisitions in the last several years that have bolstered its creative and digital offerings and expanded the business beyond print services.
Despite the agency solutions segment’s strong performance, Quad is projecting a 0% to 5% decline in net sales for 2023 due to continued economic uncertainty and clients cutting their print advertising budgets.
