Grief, a US-based industrial packaging company, has announced plans to shut down its burlap sack facility located in Hadımköy of Istanbul, which recorded 110 days of downtime in 2014.
The company has decided to close the facility, as it was hit by a workers strike, which resulted in $13m loss for the company.
Grief president and CEO David Fischer said, "The communist workers that went in there made such demands that we were not able to continue with that facility, even though we would have liked to continue with that facility, as it’s a major cog in the wheel of our production."
In February 2014, workers occupied the facility, which manufactures plasticlike material used to pack pet food and fertilizers, demanding higher wages, better working conditions and to put an end to subcontractor system. But their demands were refused by the company.
On 10 April, the protest was ended due to a police raid.
According to Grief, the production was halted for a period of two months due to occupation by the workers.
Final closure of the plant is expected to take place by the end 2014.
Grief manufactures steel drums, shipping sacks as well as cardboard like containers.
The company’s second-quarter profit declined by 11%, while revenue increased by 1.1% to $1.1bn.