Crown Metal Packaging ends production at its Chatham facility today but the company isn't pulling up all its stakes in the southern Ontario town, according to one official.
Stuart McFadden, who works in business development with the municipality of Chatham-Kent, tells CBC the factory will become a warehouse for the company.
"They were managing their employment levels through attrition. Over the last couple of years, they were on one shift, and I believe they had a few people left on the floor when the final decision was made, so there is an impact to those families, and that is unfortunate," McFadden said. "But they had mentioned that that facility will be used as a warehouse for shipping and receiving for their company."
Crown has had a presence in Chatham for more than 25 years. It's not known how many employees will be out of work and how many will work at the warehouse.
Calls to Crown Metal were not returned.
"They acknowledged it was nothing to do with the current workforce whatever. It was competitive market decision and they have other facilities that produce the same product, and they were just going through a change," McFadden said. "So it's very unfortunate that the decision was made to shut down operations in their Chatham facilities and move them someplace else, but that happens."
Crown makes metal cans for food packaging. The company has a Toronto facility that makes beer cans among other things.