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Avon To Close Pasadena Facility In Cost-Cutting Plan

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(Photo by Duane Prokop/Getty Images for Avon Products, Inc.)

(Photo by Duane Prokop/Getty Images for Avon Products, Inc.)

Claudia Peschiutta Claudia Peschiutta
Claudia Peschiutta is a general-assignment reporter at KNX 1070...
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PASADENA (CBSLA.com) — The city of Pasadena is about to lose one of its oldest employers.

KNX 1070’s Claudia Peschiutta reports the closure of a giant Avon beauty products distribution center is part of what the company calls a “right-sizing” plan.

Around 175 workers are employed at the 353,000-square-foot landmark Avon products plant at 2940 E. Foothill Blvd., most of whom are expected to be laid off sometime next year, according to a company spokesperson.

The distribution center – which opened in 1946 and is the company’s distribution facility in the nation – primarily services the West Coast region and could result in slower deliveries for Avon customers.

Distribution centers in Pasadena and Atlanta are being closed as part of an aggressive cost-cutting plan to save $400 million a year by the end of 2015.

“We’re saddened to hear about the job loss that’s gonna be happening in 2014,” Eric Duyshart, the city’s economic development manager.

The Foothill Workforce Investment Board will provide job training and placement assistance to employees facing layoffs.

As for the future of the distribution center site, Duyshart said the city is confident of attracting a new occupant.

“We’re not too worried about there being interest in the site,” he said. “It’s a 10-acre site that will certainly generate a significant amount of interest either from developers or retailers.”

Avon announced last month that it plans to cut about 1,500 jobs and exit two Asian markets, as the struggling beauty products seller starts on a broad restructuring plan in an effort to turn around results.

(TM and © Copyright 2013 CBS Local Media, a division of CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2011 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

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