Tupperware is closing its European factories in Belgium and Portugal. Thousands of independent ‘consultants’ have also lost their licences.
From 67 to 8 countries
The 270 employees of the Belgian Tupperware factory (in Aalst, near Brussels) are losing their jobs, although bankruptcy has not yet been officially declared. At the end of last year, American leverage funds took over the ailing company and drastically reduced the number of active markets, taking Europe out of the picture. The Portuguese plant, which employed some 200 people, also closed its doors. The company had already closed its other European factories, in France and Greece, a couple of years ago.
The move came partly as a surprise, as the Belgian plant was still profitable: last year it still made a profit of 677,000 euros on a turnover of 40 million euros. On behalf of the Belgian management, lawyers have now taken legal action against the American directors, who they believe are shirking their responsibilities. An official bankruptcy filing is crucial to the employees, as it will have a direct impact on the level of redundancy payments.
After the relaunch, Tupperware will only operate in eight markets. This means that the thousands of Belgian consultants (independent sellers) also lose their licences and therefore their source of income. Although it is possible that a new European licence might be granted in the future, production will no longer be carried out locally.
