Global consumer packaging company Rexam (London / UK; www.rexam.com) is holding talks with staff representatives at two factories in France as it continues its restructuring programme. Workers at the Simandre and Reboul plants have been told that the company is consolidating its operations in the personal care market, which accounts for around one-third of its packaging business and has been hard hit by the recession. Sales in the sector are down 30% compared with the same period of 2008.

Rexam estimates that combined losses from the two sites for 2009 will be around EUR 11m. Plans are for the Reboul factory to focus on metal packaging products, such as lipstick cases. Following a transfer of Reboul’s plastics conversion equipment, the Simandre plant will focus on closures. The factory at Saint-Eusebe, specialised in injection moulding and assembly, will be closed.

Rexam media spokesman Jonathan Thornton said the planned changes were part of the global restructuring of the plastic packaging business, adding that some 90 jobs will likely be lost at each plant, effectively halving their workforce.