Employment Law

Prepac cutting 170+ jobs in Delta, production going to U.S.

Sparks fly as a piece of equipment cuts holes into silver chunks of metal. Manufacturing sector employees are entitled to severance pay.

What’s happening at Prepac?

Canadian furniture manufacturer Prepac is preparing to terminate over 170 jobs at its Delta, British Columbia facilities, according to a release by Unifor, which represents many of Prepac’s Canadian workers.

The company will cease its manufacturing operations in the region by March 14, 2025, and expects all affected workers to be fully severed by May 2025.

Prepac plans to shift its production entirely to its Whitsett, North Carolina plant.

The company cited “an altered economic environment” as the driving factor behind its decision.

Prepac’s move comes in response to tariffs on Canadian goods, which it claims have altered its competitiveness.

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Official statements and context

Unifor National President Lana Payne strongly criticized the decision.

  • “Our union has been warning about lost investment and production since Trump began his economic war on Canada and Canadian workers.”
  • “Prepac and its equity owners are using the tariffs as an excuse to redirect all their production to the US. It’s pure greed.”

Prepac was a locally owned Canadian company until 2019, when it was sold to Toronto-based TorQuest Partners, a private equity firm.

In 2020, Prepac expanded its Delta footprint by acquiring a fourth building, only to shift focus to the North Carolina facility, which opened in 2021.

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