Avon to shift entire production line to Poland, cites labor cost as reason

U.S.-based cosmetics manufacturer Avon has announced plans to transfer production of its entire product line to its plant in Garwolin. The consortium plans to shut down the factory in Northampton, U.K., laying off 465 people, and to move production to Poland, where the cost of labor is lower, company representatives informed in a communique on Friday. Apart from saving $10 million to $12 million a year, Avon would benefit from having its production located at the center of the Central and Eastern European market, which seems to be providing the biggest opportunities for the company. (Rzeczpospolita, p. B1) K.S.