International Paper Announces Layoffs Impacting 650 Jobs, Including 400 in Memphis

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International Paper (IP), a major Memphis-based employer, is set to lay off 650 employees, including 400 in its Memphis location, as part of a restructuring plan aimed at strengthening the company’s profitability and focusing on sustainable packaging solutions.

Most layoffs will occur by the end of 2024, and severance packages, outplacement assistance, and mental health resources will be provided to affected workers. Despite the cuts, IP aims to remain an important community partner in Memphis, where it will retain approximately 1,700 employees.

These layoffs follow IP's recent shareholder approval of a deal with DS Smith and a leadership transition, with Andy Silvernail becoming chairman after Mark Sutton’s retirement. Memphis leaders, while acknowledging the company’s long-term commitment to the city, expressed concern over the impact on workers and families, especially with the holiday season approaching. The company will also release its third-quarter earnings on October 31.

International Paper, based in Memphis, Tennessee, specializes in renewable fiber-based packaging and pulp products. With approximately 39,000 employees worldwide, the company reported net sales of $18.9 billion in 2023.