Irving Paper Limited To Permanently Shut 50% of its Operations

SEATTLE (Scrap Monster): The top producer of graphic paper, Irving Paper Limited, declared that it will permanently close half of its businesses. The decision is expected to affect approximately 140 of the 310 employees and will take effect immediately. The business attributed the closing decision to New Brunswick's uncompetitive industrial electricity costs.

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The choice to permanently reduce its operations is a tough one, according to Mark Mosher, vice-president of Irving Pulp & Paper. However, given the rapidly rising cost of electricity, it has become essential to guarantee the company's long-term viability. He noted that it has been more challenging for the business to deal with the effects of rising electricity prices and maintain its competitiveness in a global market.

The business and the provincial government have been trying to find a solution, but they haven't been able to come up with a workable plan that would allow both paper machines to run fully. It will attempt to create a strategy to guarantee the continuous operation of the remaining 50% of the mill during the upcoming weeks. It should be mentioned that starting in April 2025, electricity rates will increase by an extra 10%.

Irving Paper noted that its top priority is to support impacted employees. It will work closely with government authorities to help affected employees with a smooth transition.