Its Pandan Loop facility in Singapore will stop production on June 30, the company said on Wednesday.
Around 250 employees will remain in Singapore after the retrenchment, with the city-state continuing to serve as its main hub for key corporate functions such as brand management, product development and quality and regulatory oversight, it noted.
The shift aims “to enhance operational efficiency and maintain competitiveness amid an increasingly challenging global environment,” Gardenia said, as quoted by AsiaOne.
The firm said employees were informed of the move during an internal meeting on Wednesday morning and that affected workers will be given the appropriate notice period and support.
Eligible employees may also be considered for suitable roles across its broader operations network where possible, it added.
Gardenia’s sandwich bread. Photo from Facebook/Friends of Gardenia |
Gardenia began in 1978 as a small bakery at Bukit Timah Plaza, a shopping mall in Singapore. Since then, it has grown across the Asia-Pacific region, with operations in countries including Malaysia, the Philippines and Australia.
A company spokesperson said in response to queries from Channel News Asia that the shift “is a strategic step in response to business continuity, labor constraints, and the need for industrial land for large-scale production.”
Consumers in Singapore will not see any immediate changes in prices for Gardenia products, the spokesperson added.
The move comes amid similar restructuring by several iconic Singaporean food and beverage businesses. Asia Pacific Breweries Singapore, the maker of Tiger Beer, said in March that it would cut around 130 jobs as it relocates production to other regional markets like Malaysia and Vietnam.
Later that same month, Yeo Hiap Seng, which produces Yeo’s beverages, announced the layoff of 25 employees at its Senoko facility as it moves can manufacturing operations to Malaysia to optimize capacity use and improve overall manufacturing efficiency across its network.
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