“We have started the process of closing the factory, but we are negotiating with the unions,” Nestle representatives told ZF.
In a statement issued later, the company said that it took the decision “after detailed analyses and implementing all alternatives”.
The factory opened in 2000 and had an annual production of more than 10,000 tons of food, mostly sweets, and coffee, also producing the local waffles brand Joe.
In total, 388 people will be laid off, with company management currently in talks with its employees and unions regarding solutions. Other 30 employees who work at Nestle’s Regional Cost Competence Centre in Timisoara will not be affected by the factory’s closure.
The brands produced by the Swiss company for the Romanian market will not be withdrawn, but will instead be produced mainly in Hungary.
At the moment, Nestle has a total of approximately 900 employees in Romania.