Shermag to close upholstery plant
By Furniture Today Staff -- Furniture Today, December 4, 2005
Sherbrooke, Quebec — Full-line furniture manufacturer and importer Shermag said last week it will close its upholstery plant in Saint-Leonard, Quebec, in March, consolidating production at its Jaymar facility in Terrebonne, Quebec.
The closing will affect about 70 workers. Two other plants were closed earlier this year, affecting a total of 178 employees, the company said.
President and CEO Jeff Casselman said the latest consolidation is another step in an effort to create a more efficient, competitive and customer-focused company.
The strategy includes changing Shermag's domestic production to a "made-to-order" model, while shifting production of low-margin goods like glider rockers to Asia.
Shermag now operates eight manufacturing plants, two plants that specialize in wood and veneer components, and two sawmills. It employs about 1,800 people.
The company also said it had negotiated a five-year extension of its collective agreement with workers at the Terrebonne plant.
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Shermag to close Quebec facility
Dec 1, 2005
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