Staff at a packaging site in Launceston, Cornwall, have expressed shock and disappointment after DS Smith proposed shutting the facility, which has been a major local employer for nearly 60 years.
The international paper company confirmed it has entered consultations with around 167 employees regarding the proposed closure of its Link Road plant. The move follows a review of UK packaging operations amid what the firm described as "tough trading conditions."
"I'm hearing shock and disappointment from staff—they are worried about losing their jobs and about the future," said Adrian Parsons, Liberal Democrat member of Cornwall Council.
Ben Maguire, Liberal Democrat MP for North Cornwall, expressed sympathy for employees, calling them "really anxious and uncertain." He criticized the government's "anti-business" approach, arguing that companies like DS Smith are being "hammered" by rising national insurance costs and minimum wage hikes, creating a "perfect storm" alongside the cost-of-living crisis.
The site originally opened as Tillotson's in 1968 and has undergone several takeovers, most recently by US firm International Paper in January 2025.
Parsons noted that many employees had spent their entire careers at the plant. "I have friends from school who have been there all their lives for a responsible employer which always paid well and had good working hours," he said. "It's a surprise but also an enormous disappointment that things have played out as they have."
DS Smith stated: "To improve efficiencies across our business and to ensure we respond to the evolving needs of our customers in what are tough trading conditions for the industry, we have undertaken a review of our UK packaging operations. As a result of this review, we can confirm a proposal has been made to close a site within our network. A consultation process with employees is ongoing, during which DS Smith (and International Paper) will not comment further."
In 2024, the firm cut 70 roles at its Louth site in Scotland, and last year it closed facilities in Plymouth, Derbyshire, Newcastle, Sheerness, and Wellingborough after consultations.
A government spokesperson said: "While this is a commercial decision for DS Smith, we understand this will be a concerning time for workers and their families and support is available for those affected. The decisions we made at the Budget mean we can stabilise the economy and deliver support for families and businesses."