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Austin food company to cut 50% of its workforce

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Austin Packaging Company will lay off half of its workers -- that’s roughly 125 employees -- in a couple of weeks, the Austin Daily Herald reports.

“We take the commitment to our community seriously and are disappointed to take this action,” James Heimark, who co-owns the company with Jeff Thatcher, told the newspaper. “APC is working diligently and openly with our customers, vendors, bank and employees through this difficult situation. It is our desire to restructure APC and emerge a stronger company.”

“It’s a bad deal for Austin,” Mayor Tom Stiehm added. “Whenever companies hurt, it hurts everyone. We’re hoping business turns around for them.”

KAAL says the layoffs come as the company closes its frozen pizza making operation because of poor sales.

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