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Levi Strauss closing Manila plant

Philippine Daily Inquirer

Posted date: March 15, 2008


MANILA, Philippines -- Levi Strauss & Co. said it would close down its cut-and-sew apparel plant in Manila, with 257 employees to be terminated.

The company, which has been in the Philippines for the past 36 years, said its last day of plant operations would be on July 31.

It said it “believes the plant closure will allow it to focus on its core competency of marketing its branded products in Asia, in line with the company’s global strategy.”

Country manager Ramon Martelino said, “This has been a very difficult decision for us. We have examined comprehensively all other options, including cost containment and improving the efficiency and productivity of this plant. Unfortunately, such measures cannot overcome the significantly lower costs of outsourcing.”

He said Levi Strauss would continue its Philippine presence through its commercial business, “retailing branded apparel in major cities through a large franchised retail distribution network.”

Martelino also said the company, through Levi Strauss Foundation, would make a grant of $50,000 to a nongovernmental organization in the Philippines to assist residents of communities near the Manila plant with social and economic development programs. Edited by INQUIRER.net

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