Corticeira Amorim is closing its cork factory in Silves in June
Following the announcement of the upcoming closure of the Corticeira Amorim cork factory in Silves, the municipal council has voiced deep concern for the affected workers and vowed to support them during the transition.
In a statement to the press, the council says it received the news of the factory’s upcoming closure in June with “sadness and desolation”. The local authority’s prime concern, it says, is the future of the 31 workers whose life has now been thrown into disarray,
After hearing the news, the council sought clarification from Corticeira Amorim about plans for employee relocation or compensation. As previously reported, the company has pledged to offer workers the opportunity to transfer to its Vendas Novas facility in the Alentejo, should they wish to continue within the group. For those opting not to transfer, Corticeira Amorim committed to providing severance payments twice the legal minimum.
In addition, the company assured that the workers and their families currently residing in company housing will be allowed to remain until suitable alternative accommodations are found.
Still, the council says it remains worried about the workers and has offered to provide all the support it can to find them “better solutions for their future.”
The council also highlighted the efforts it has made since 2021 to prevent the closure, including organising and mediating 16 meetings between company representatives, regional development bodies, and environmental regulators. These discussions aimed to address compliance with noise and air quality regulations while keeping the factory operational.
Despite these efforts, a decline in demand for cork insulation and rising production costs ultimately led to the decision to close.
While recognising the tough times ahead, the municipality ended its statement on a note of resilience. “The strong connection between Silves and the cork industry is far from over”.
