Paramount Cards suddenly closed its administrative offices in Pawtucket on Friday, laying off the 126 workers who had remained at the site since it moved production to Canada in December.
No one was expecting it, said Brian Dobson, owner of Dobson Communications Inc., who handled public relations for the greeting card company.
Paramount Cards had decided to keep headquarters in Pawtucket while consolidating production at its Ontario, Canada facility. But the consolidation costs were more expensive than had been anticipated and Paramount’s investors and lenders “could not come to agreement” to keep the company operating, he said.
The company is expected to file for Chapter 7 bankruptcy sometime this week. Meanwhile 126 workers are without jobs starting Monday. They were given no notice. Dobson said he was told the company did not offer severance packages to anyone.
About 55 employees in other locations in the United States lost their jobs, he said. About 550 employees in Canada were laid off and 575 merchandisers were affected.
Paramount Cards was the oldest and third largest greeting card company in the United States.