Verallia initiates review of European sites amid demand slowdown

Verallia initiates review of European sites amid demand slowdown


Verallia Group is evaluating changes to its European operations in response to weakening demand for glass packaging.

The company is assessing possible site closures and production adjustments across Germany, France, and the UK.

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In a statement, Verallia outlined several proposals.

In Germany, subdued demand in the region is leading the company to consider closing its Essen site, which could result in the loss of around 300 jobs. Production from Essen would be redistributed to facilities in Bad Wurzach, Neuburg, and Wirges if the closure proceeds.

In France, continued declines in cognac sales have led Verallia to propose shutting down an ageing furnace at its location in Châteaubernard.

This move could affect approximately 60 positions, though Verallia indicated that any job cuts would be managed through voluntary redundancies and pre-retirement plans.

The company is also reviewing its footprint in the UK, where there has been a downturn in the spirits sector.

Plans include closing a furnace at Knottingley while restarting a modernised furnace at Leeds. Redeployment options may be available for affected employees at these sites.

Verallia said that these proposals form part of its ongoing sustainability and investment strategy.

Employee representatives and unions are being consulted as part of the process.

Verallia says it will maintain discussions with staff and unions as it considers operational changes intended to bring production capacity in line with current market conditions.

Recently, Verallia UK initiated consultations on up to 40 redundancies across its Yorkshire sites. The GMB Union has linked part of this situation to the introduction of the Glass Packaging Tax. 




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