Reebok sits tight amid turmoil
Some from UK to be offered local jobs
By Justin A. Rice Globe Correspondent / February 15, 2009In a worldwide economic storm,
 | Discuss |
| COMMENTS (0) |
Jobs in this country and overseas are being eliminated or moved, and the net effect on Canton, where Reebok is the largest employer, is still being calculated.
"As we said way back, we are restructuring our business in Europe and elsewhere," said Reebok spokeswoman Josie Stevens. "We're certainly not packing up shop and going home. At the same time . . . we're going to continue investing in key areas of the business."
Overall, the shoe and apparel maker has announced the elimination of 300 jobs worldwide. Most of the casualties are in sales and marketing departments, with about 100 layoffs at the Canton campus on Foster Street, and another dozen at the headwear-manufacturing division in Mattapoisett.
Last month, the company also announced it will close offices at the Reebok Stadium in the British town of Bolton, cutting 160 jobs and a 116-year association with the town.
Some Reebok employees formerly based in Europe are likely to be relocated to Canton as Reebok continues a "joint operating model" with its parent company, Adidas AG.
About 55 Bolton employees will be offered posts at the Adidas UK headquarters in Stockport, Stevens said, but Bolton's 105-member product-creation team will be consolidated with the apparel and production departments already located in Canton.
"It makes sense to relocate the rest of apparel, footwear, and product creation teams here so everything is based here," said Stevens, who noted that there are currently 10 job openings in Canton. "We're bringing them back here to join the family. We're basically bringing those teams together."
Stevens said it's unclear how many of the 105 employees will move to Canton, because UK employment laws require a negotiation process with each employee that can last as long as 90 days.
"The truth is it's a difficult message to mix when you're laying off people, but with restructuring comes opportunity to revisit and relocate people," said Stevens.
She added that the company - which brought more tax revenue ($830,000) to Canton than any other single entity in the fiscal year that ended June 30 - is more committed to the town than ever, even though plans to expand the campus have been put off indefinitely.
John J. Connolly, chairman of Canton's Board of Selectmen, expressed concern about the job cuts, but welcomed the opportunities for Canton.
"If people have to be relocated, I'd rather have them relocated to Canton than Oshkosh or another city," he said. "I don't want to look at it that way, but I have to look at reality; we'll welcome them with open arms in Canton, absolutely."
Named after an African gazelle, Reebok was established in 1958 by grandsons of Joseph William Foster, who made the first known spiked running shoe in the 1890s in Bolton. In 1979, Brockton native Paul Fireman bought the distribution rights for North America. The company established headquarters in Avon, then moved to Stoughton in 1990 and Canton in 2000. The Canton facility was expanded six years ago, and today, Reebok is the town's largest employer, with about 1,100 workers.
The company, which employs 8,500 people worldwide, has been active in local charities, even in these tough economic times, said Connolly and Paul Hannigan, executive director of the Canton Association of Industries.
The Canton Reebok Homecoming Road Race has raised money for town services and schools for the last four years.
Among its activities, Reebok has provided scholarships, contributed to the Fire and Police departments, and each year outfits one Canton High School athletic team with new uniforms.
"Since they've been here, I've never known Reebok to say 'no,' " said Connolly.
Stevens did not have statistics on how many Canton residents work at the headquarters, but said most live 30 to 60 miles away.
Speculating on which employees will relocate to Massachusetts, Stevens, who hails from England, said: "There's going to be some people that don't want to come. Why? I can't imagine why. I love it."
No comments:
Post a Comment