No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeTopicsBusinessAppliance company Mabe closes Costa Rica plant, lays off 445 employees

Appliance company Mabe closes Costa Rica plant, lays off 445 employees

Mexican appliance manufacturer Mabe on Friday announced the closure of its refrigerator manufacturing plant in Costa Rica and the immediate dismissal of 445 of its 540 employees.

The plant, located in Heredia province, had a production capacity of 275,000 refrigerators per year that were exported to customers across Central America. Mabe will move production to Colombia on Jan. 31, 2016.

The company said in a public statement that its decision was made due to changes in manufacturing procedures that require energy consumption, and some conditions were not apt at its Costa Rica plant.

In total the company has let go 795 workers in the last 19 months. In May 2014 it laid off 350 employees following the closure of its stove manufacturing division.

The company will maintain administrative operations in Costa Rica and a call center to support customers in the region.

Mabe’s Corporate Affairs Director Pablo Moreno said the move was a difficult decision, and the company will comply with and pay severances as stipulated by Costa Rica’s labor laws.

The company began operations in Costa Rica in 2008 after acquiring local company Atlas Electric for $72 million. The former Tico company, founded in the 1960s, manufactured and exported appliances to over 25 destinations in Latin America.

Mabe is one of more than 20 companies that have closed or moved out of Costa Rica in the last two years.

Trending Now

Costa Rica and U.S. Strengthen Border Scans and Biometric Cooperation

U.S. Secretary of Homeland Security Kristi Noem met Wednesday with Honduran President Xiomara Castro to discuss security and migration, following her offer in Costa...

Costa Rica Hunts for Nicaraguan Hit Squad After Exile’s Assassination

Costa Rica’s Judicial Investigation Agency (OIJ) is investigating whether a hit squad tied to Nicaragua’s Ortega-Murillo regime is targeting exiled critics on its soil....

El Salvador Slams Paris Fashion Show Inspired by Cecot Mega-Prison Inmates

The president of El Salvador, Nayib Bukele, joked on Saturday that he could send inmates from his mega-prison to France, after they were represented...

Honduras Seizes $2 Million, Gold-Plated Pistols in Drug Raid

Honduran authorities struck a blow against drug cartels, seizing over $2 million in cash, war rifles, and flashy gold-plated pistols in Copán, a northwest...

Panama Regains Control of Bocas del Toro After Violent Protests

Panama’s government has regained control of Bocas del Toro province after months of violent anti-government protests sparked by pension reforms, officials announced. The unrest,...

Costa Rica’s Pride March 2025 Defies Restrictions and Celebrates Diversity

A large crowd gathered in Paseo Colón, San José, to participate in the LGBTIQ+ Pride March 2025. It began at noon, as people marched...
L. Arias
L. Arias
Reporter | The Tico Times |
spot_img
Costa Rica Tours
Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Rocking Chait
Costa Rica Travel

Latest News from Costa Rica