American underwear manufacturer HanesBrands announced today it will close the Montreal head office of its subsidiary Canadelle and its Canadian distribution centre, also in Montreal.
Starting this summer, about 100 employees who work at the head office, located in Montreal’s east end at 4405 Metropolitain Blvd. East in Saint-Léonard, will see their positions phased out.
Another 70 people who work at the company’s Canadian distribution centre, located at 5675 Royalmount in Town of Mount Royal, will also be out of work once the centre is shut down in early 2015.
Distribution to Canadian retailers will be handled by existing centres in the United States.
“We know today’s announcement will come as a shock, and we certainly regret the loss of jobs for employees … This is in no way a reflection of the skills, dedication and professionalism of our Canadian associates,” read a memo from management obtained by CBC News. It was sent out Wednesday to all HanesBrands employees.
Positions at Canadelle’s head office are expected to be completely phased out by the end of the year.
In its memo, company leaders say workers will get 60 days' notice of end dates.
“We sincerely regret that many of these fine Canadian employees will lose jobs, and we will do all that we can to treat employees with respect and compassion,” the memo said.