Quebec-based paper and packaging giant cascades announced the permanent closure of three facilities across Quebec and Ontario on Friday, February 29, 2024, impacting roughly 315 employees [[1]]. The move comes as the company navigates challenging market conditions and a broader trend of restructuring within the North American paper industry [[2]]. This decision follows the recent sale of a Richmond, British Columbia corrugated plant to Crown Paper Group [[3]], signaling a strategic shift for the manufacturer. Cascades maintains it is working to support affected employees and communities during the transition.
Cascades to Close Three Facilities, Including Two in Quebec
Paper manufacturer Cascades announced on February 29, 2024, it will permanently close three of its facilities – two in Quebec and one in Ontario – citing challenging market conditions. The closures will impact approximately 315 employees, according to the company.
The facilities slated for closure include the paper mill in Saint-Jérôme, Quebec, the corrugated packaging plant in Drummondville, Quebec, and the corrugated packaging plant in Mississauga, Ontario. Cascades stated the decisions were made after “careful consideration” and are intended to optimize its operational footprint and improve its financial performance.
The Saint-Jérôme mill closure will affect 185 employees, while the Drummondville and Mississauga plants will see 70 and 60 employees impacted, respectively. Cascades indicated it will work with employees and local communities to mitigate the effects of the closures, offering support and transition assistance.
The company’s decision reflects broader pressures within the paper and packaging industry, as demand fluctuates and input costs remain elevated. Cascades has been focused on streamlining operations and reducing debt in recent years.
Cascades did not provide a specific timeline for the closures, but stated they would occur over the coming months. The company will provide further details as the process unfolds.
