Closure of Greif's Merced Facility
Greif, a frontrunner in industrial packaging solutions, recently announced a significant restructuring strategy that includes the planned closure of its steel and polymer drum facility located in Merced, California. This move is a key element of the company’s broader initiative, aimed at achieving operational efficiency and reducing overall costs by $100 million.
Impact on Employees and Community
The closure of the Merced facility, which is scheduled for September 2025, will unfortunately affect around 43 jobs. Greif President and CEO, Ole Rosgaard, acknowledged the tough nature of such decisions, emphasizing the company's commitment to support affected employees with severance packages and career placement services. Rosgaard expressed sincere appreciation for the contributions of the Merced team, highlighting their positive influence both within the company and the local community.
Company’s Future Directions
Despite this closure, Greif remains optimistic about the future of its steel and polymer division. The company is determined to enhance its core business sectors while continuing to serve its global and regional customers through an extensive network of remaining facilities. Greif plans to fulfill customer orders from its other location, ensuring minimal disruption in service.
Commitment to Innovation and Growth
Greif's decision underscores a strategic repositioning aimed at focusing on high-potential markets. The strategy is designed not only to bolster financial performance but also to reinforce the company’s overall business portfolio. With over 14,000 employees and operations in 37 countries, Greif remains committed to being a leader in the packaging industry.
About Greif
Founded with a vision to provide exceptional customer service, Greif is a prominent player in the industrial packaging landscape. The company specializes in producing a range of products, including steel, plastic, and fiber drums, as well as intermediate bulk containers and specialized packaging solutions tailored for various industries. Apart from manufacturing, Greif also offers packaging accessories and services, solidifying its reputation as a comprehensive solutions provider.
Global Presence
With a vast employee base and more than 250 facilities, Greif is strategically positioned to cater to both global and regional markets. The company’s diverse product offerings, including reconditioned containers and jerrycans, showcase its adaptability to industry needs while maintaining a strong focus on sustainability and innovation.
Media Inquiries
For additional information, media representatives can reach out to TJ Struhs, Director of Corporate Communications. He is available at tj.struhs@greif.com or via phone at +1 (207) 956-2304.
Frequently Asked Questions
What motivated Greif to close the Merced facility?
The closure is part of Greif's optimization efforts aimed at reducing costs by $100 million and focusing on strategic markets.
How many employees will be affected by the closure?
Approximately 43 employees will be impacted by the closure of the facility.
What support is Greif providing to affected employees?
Greif is committed to assisting affected employees through severance packages and career placement services.
Where will customer orders be fulfilled after the closure?
Customer orders will be fulfilled from Greif's remaining global steel and polymer network.
What kinds of products does Greif manufacture?
Greif produces steel, plastic, and fiber drums, intermediate bulk containers, and other packaging solutions for various industries.
