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Papelera del Sur Closes Plant in Tornquist, Leaving 160 Workers Jobless

The definitive closure of the historic factory in Buenos Aires province triggers local alarm and prompts intervention from the provincial labor ministry.

By 3 min read

Papelera del Sur announced the definitive closure of its industrial plant in Tornquist, located in the southwest of Buenos Aires province, leaving approximately 160 workers without employment. The decision, communicated by the company during a meeting with union representatives in Bahía Blanca, brings an end to more than six decades of manufacturing history at the facility and delivers a severe blow to the local economy.

The sudden announcement prompted the Ministry of Labor of Buenos Aires province to intervene of its own accord. The labor cartera summoned the company and the labor union to a formal hearing to address the crisis and review potential courses of action after learning that operations would cease entirely without prior communication between the parties.

Company officials attributed the shutdown to financial difficulties and the inability to compete with foreign products. According to union representatives, management stated that the facility's machinery was outdated and that high volumes of cheap imported cardboard made domestic production entirely unviable.

Gustavo Lanaro, secretary-general of the paper union, expressed shock over the development, noting that although the factory had faced production struggles for years, workers and union leaders still held hopes for continuity. "When we arrived they gave us the news," Lanaro stated, adding that staff members had recently been facing rolling suspensions and reduced hours.

The closure affects about 160 individuals directly, including roughly 110 employees under the sector's collective bargaining agreement and 50 staff members outside of it. Union officials indicated that the company intends to complete severance payments and final settlements before the end of November, though workers remain deeply uncertain about their economic futures.

Local leaders and municipal authorities strongly condemned the shutdown, emphasizing its broader consequences for the community. The municipal government, led by Mayor Estefanía Bordoni, issued a statement expressing profound concern and linking the closure to the economic policies and trade conditions overseen by the national government under President Javier Milei.

Former mayor Sergio Bordoni also criticized the national administration, pointing out that the factory had weathered numerous historical national crises before ultimately shutting down under current economic conditions. He warned that the loss of the plant will ripple across local businesses, transporters, service providers, and neighborhood shops that rely on the purchasing power of the factory's workforce.

With the plant's gates closed, affected employees planned to gather in a general assembly to evaluate the situation and determine their next steps. Meanwhile, regional officials and labor representatives continue to monitor the fallout from the shutdown as Tornquist faces the challenge of absorbing a large displaced workforce.

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