Hanesbrands Inc., Winston-Salem, N.C., has announced plans to close its narrow elastic production plants in Advance and Asheboro, N.C., by the end of June 2008, resulting in the loss of approximately 120 jobs. Going forward, the company will outsource that production, which comprises waistbands mainly for women’s and girls’ underwear that it already is making up outside the United States, to suppliers located around the world.

“We regret the need to close these facilities and the effect it will have on our employees and their communities,” said Gerald Evans, executive vice president and chief global supply chain officer. “These are well-run operations with very good workforces, but apparel has become a global industry,” he added, noting that sending elastic produced in its US facilities to its offshore facilities for inclusion in end products constructed there is not cost-effective.

Evans said the company would attempt to place terminated employees in positions at other operations when openings become available. Affected employees also will be eligible for severance benefits and US Trade Adjustment Act assistance.

Hanesbrands currently employs 6,600 people at its various North Carolina facilities including headquarters, manufacturing plants, distribution centers and outlet stores.

January 29, 2008