Type
Offshoring/Delocalisation
Country
Latvia
Region
Latvija; Latgale;
Location of affected unit(s)
Liepaja
Sector
Manufacturing
Manufacture Of Material For Textiles, Apparel, Leather And Related Products
Manufacture Of Wearing Apparel
14.14 - Manufacture of underwear
New offshoring locations
Ukraine, Belarus

131 jobs
Number of planned job losses
Job loss
Announcement Date
14 April 2008
Employment effect (start)
16 April 2008
Foreseen end date
1 August 2008

Description

Latvia's clothing producer Lauma Lingerie announced plans in April 2008 to lay off 131 employees, mainly tailors. The company warned that in April it would layoff 14 employees, in May 28, and in June/July 89 employees. The company stated that changes are due to rise of production expenses - electricity, gas, heating, water supply, rent and wages. Part of the current plant will remain in Liepaja, some production and experimental departments, as well as administration. In the previous two years, much of the company's production had been moved to Ukraine and Belarus as well as Asia.


Sources

Citation

Eurofound (2008), Lauma Lingerie, Offshoring/Delocalisation in Latvia, factsheet number 68310, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/68310.