Liosaplast AG will permanently close its operations in St. Margrethen. After completing and reviewing the statutory employee consultation process, the board decided to shut the business. No viable solution for continuing operations was found. All 32 jobs are affected, including those of three apprentices. [1]
Operations expected to end in late November
Management informed staff of the decision and next steps on Monday, 19 October. Operations are expected to cease at the end of November. The company will work with the St. Gallen Office of Economy and Labour, regional employment centres and other local institutions to find follow-on employment and new job opportunities. Vocational training offices and training companies are also expected to look for ways for the three apprentices to continue their training. [1]
Loss of a major customer adds to pressure
The company cites several years of difficult economic conditions. In particular, the loss of a major customer left production capacity underused. International competition and price pressure added to the strain. Cost reductions, operational changes and short-time work did not bring a sufficient, lasting improvement in earnings and liquidity. [1]
Founded in 1970, Liosaplast specialises in functional and decorative plastic coatings for industrial applications, including powder coating and wet painting. [3]
Clarifying the word “bankruptcy”
Blick uses the word “bankruptcy” in its headline. The latest company statement, as reported by the Rheintaler, confirms the permanent closure but does not mention that bankruptcy proceedings have been opened. Those details alone do not establish the company’s formal legal status. [1][2]