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Factory Fallout: Manufacturing Layoffs From Tyson Foods, Clearwater Paper, Nelson Global, And More

ByArticle Source LogoPlant Service04-14-20263 min
Plant Service
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With political winds changing and global markets tightening, manufacturers are making tough decisions—and workers are feeling the impact. In this roundup, we chronicle the closures and cutbacks reverberating throughout the manufacturing sector.

Tyson Foods is closing its Rome, Georgia Hillshire Brands Co. factory and laying off 168 workers effective May 31, according to a WARN notice filed with the state March 26. According to the letter, the company is closing shop after it lost a contract to make Nature Valley-brand granola bars for General Mills. Though the employees are covered by collective bargaining, the letter says no bumping rights can be executed, as the plant is being permanently closed. In recent months, Tyson Foods has also closed a beef processing plant in Lexington, Nebraska.

Industrial Plastics Group, LLC announced April 10 that it had permanently laid off 74 employees at its golf ball factory in Pickens County, Liberty, South Carolina, local news reported April 13. Atypically for Worker Adjustment and Retraining Notification letters, the announcement and the layoffs seem to have taken place on the same day. According to Plastics News, the layoffs cut the site’s workforce by roughly one third.

Voyant Beauty announced April 10 it would shut down its Roanoke, Virginia factory and lay off 95 employees. The layoffs will come in two phases starting June 30 and August 31, at which point manufacturing at the site will cease, according to a WARN notice filed with the state. Voyant is a contract developer and manufacturer for businesses in personal care, beauty, and household products, its website.

Nelson Global Products, Inc., announced April 2 that it would close down its Troutdale, Oregon manufacturing site effective September 30, and lay off 65 employees there. In a letter attached to the state notice, the Joe Freeman, Nelson Global’s VP of Human Resources, said the notice is earlier than mandated by the WARN Act to help the company move equipment as it prepares to close. Freeman added that those who will be placed on leave were notified the week of April 6. According to the company’s website, Nelson Global started as a muffler manufacturer before adding other systems: its Troutdale site makes acoustics, emissions, air and fluid transfer systems.

Clearwater Paper announced April 9 that it would cut 20% of salaried and hourly roles at its Cypress Bend, Arkansas solid bleached board factory. According to Packaging Dive,  the paperboard factory employed 320 people, laid off 50 and decided not to fill 20 open positions. In a company statement, Arsen Kitch, Clearwater Paper CEO, said the mill is cost-effective and the layoffs are due to “a supply-driven downturn”: Kitch added the company plans to return the plant to full production when industrial production improves.

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