USA Paint and chemical maker PPG Industries said it will eliminate 2,500 jobs worldwide to reduce operating costs by about $60 million this year and $140 million in 2010, according to a statement by Mexican newspaper Vanguardia.The company made the decision due to unfavorable economic conditions, low market demand and the acceleration of its savings plan, after integrating sigmaKalon into its operations.
The restructuring plan includes the closure of one of its factories in France, in addition to the closure of some laboratories, warehouses and distribution centers, plus a "broad global reduction of jobs in the company."
The firm's president and chief executive, Charles Bunch, said the deepest cuts will occur in its automotive and industrial coatings area as they have a sharp drop in global demand due to the recession.
