Russell Athletic plans to close a woven plant in Alexander City, GA, on July 1. About 250 jobs are affected. Rick Medlin, executive vice president of manufacturing, said the closing is related to the general economic downturn.
“Unfortunately, this decision reflects the continuing economic difficulties we are facing that have already caused us to announce the elimination of several thousand jobs in Central America. We regret that these decisions become necessary and want to state the company's commitment to provide whatever assistance we can during this transition,” he said in a statement.
Russell has been closing a number of plants as a result of the economic downturn.
Separately, the University of Maryland became the latest university to cancel its apparel contract over allegations that it closed a factory in Honduras to prevent the formation of a union. Russell has long said the closing was done for economic reasons and recently noted that it is receiving favorable responses from colleges and universities from its efforts to share more information regarding the closing and its overall labor practices. As part of those efforts, Russell invited a number of schools to tour its factories in Honduras to get a firsthand look at the conditions and have the chance to talk to workers.