Thousands of families affected
Among all the scenarios considered, the loss of the brand’s operating license is the most feared, because it would imply a cessation of sales, we are told. The social consequences would be disastrous for dealerships managed by independents, their employees, but also for the more than 3,000 advisors who earn a main or additional income from home sales. “These people risk losing everything.”
The concern is all the greater since Tupperware announced in early December that it would end its activities in Australia at the end of the year, according to Dailymail. The international press is reporting a similar announcement in South Africa, while the headquarters of Tupperware Brands Corporation in Orlando will also close its doors on December 31.
Aalst factory: uncertainty
In recent weeks, in a particularly uncertain context, supply problems have also been noted within the Belgian Tupperware network. A slowdown in production intended to reduce stocks would be to blame. Although the situation has improved, order quantities are still limited per country.
Ultimately, it is the future of European factories that is being questioned this time. At the beginning of November, the Portuguese union SITE-CSRA expressed concern about the future of the 200 workers at the Montalvo factory. Last week, the unions at the Aalst factory, which employs 240 people, also regretted a lack of clarity. “I have the impression that in America, they have not yet completely understood what they intend to do with Europe”declared Jan Holtyzer of the ABVV, to our colleagues at the Belga agency. However, we learned that December salaries were guaranteed and end-of-year bonuses paid.
Focus on the main global markets
As a reminder, faced with a debt of 700 million dollars, Tupperware filed last September for protection under Chapter 11 of the American bankruptcy law. And this, in order to maintain the activity of the company while a sale procedure was initiated.
At the end of October, Tupperware Brands was sold to a group of lenders for 23.5 million euros in cash and $63 million in debt relief, Reuters reported. The new company immediately announced plans to focus on key global markets, including the United States, Canada, Mexico, Brazil, China, Korea, India and Malaysia, while continuing its expansion into European and Asian markets. It also specified that it would cease activities in markets with heavy liabilities. Laurie Ann Goldman, the brand’s president and CEO, concluded: “Closing parts of the company will be a difficult but necessary decision to protect the future of the Tupperware brand.”
When requested, Tupperware did not respond to our requests.
