Paper and packaging company Georgia-Pacific will close its manufacturing plant at Parchment in Michigan by the end of this year.
Terming it as a strategic decision, the company said it will move the plant's food and other wrapping business to its plants in Wisconsin and Mississippi.
Georgia-Pacific said in a statement: "This is a strategic decision based on our business needs and ability to be competitive long-term and has nothing to do with the quality of work from GP's employees at the plant.
"The employees have operated the facility safely and effectively for many years."
The closure of the last paper plant in Parchment will affect 46 contract and 11 full-time employees.
Parchment Mayor Robert Heasley was quoted by M Live as saying: "I'm not sure what the economic impact will be, but it won't be positive, obviously.
"The bigger thing is that it takes an awful toll on these 57 families. I understand corporate finances but it's a pop in the nose for this community."
In April, Georgia-Pacific said it is investing $50m in its plant at Big Island, in Virginia. A major part of the investment would be spent on the pulp mill in the plant.
The construction work is expected to be completed by the end of this year. Located about 15 miles north of Lynchburg on the James River, Big Island plant currently employs about 330 staff.
Meanwhile, the Atlanta-headquartered company is facing lawsuits from the residents around its Savannah River Mill Plant in Georgia.
The petitioners have complained that the toxic chemicals being discharged from the company's paper mill are damaging their property, in addition to causing physical discomfort.
Image: Georgia-Pacific will shift Parchment facility work to its Green Bay plant in Wisconsin. Photo: courtesy of Dual Freq.
