Ikea is closing its only furniture plant in the United States in December and moving operations to Europe, where the company says it can cut costs
The Swedish company will end production this December at its plant in Danville, Virginia. Operations will move to Europe, where the company says it can cut costs."We made every effort to improve and maintain the competitiveness of this plant, but unfortunately the right cost conditions are not in place to continue production in Danville," site manager Bert Eades said in a statement.
— Tim Kaine April 5, 2018 Ikea owns manufacturing facilities in nine countries, employing roughly 20,000 people.A recent shift in Ikea's retail strategy to adapt to the growth of online shopping has led to job cuts in other parts of the business.The company has been investing in online pickup services and digital fulfillment centers, and in 2017 bought TaskRabbit, an online marketplace for finding gig workers.
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