Large manufacturing plant closure or sale will affect up to 1,000 workers
Husqvarna, a large plant in McRae that makes gas-powered walk-behind lawnmowers, tillers and snow throwers, is planning to close affecting up to 1,000 workers.
The closure is scheduled for the end of the second quarter of 2019, according to a news release.
About 1,000 people work in the 750,000-square-foot facility during its peak season, which is now, but the company is expected to have about 500-600 workers by the second quarter.
But “Husqvarna is actively seeking a buyer to transfer all plant operations,” Jim Moore, vice president of operations and sourcing for Husqvarna North America, said in an email. “We would expect a new owner to take over the facility and its workers if we are successful.”
If the plant must close, employees will receive 60 days notice as required by the Worker Adjustment and Retraining Notification Act, Moore said.
“The company will provide financial assistance and/or ongoing support to assist employees through the transition,” he said. “(Human Resources) will have one on one conversations with each employee for specifics on their own situation.”
Employees will be given an option to apply for other open roles with the company once it closes the plant, “and we will provide additional services in an effort to assist all employees in finding other employment,” he said. These services could be provided by the Georgia Department of Labor, other state departments and local colleges.
According Sweden-based Husqvarna Group’s September financial report, operating income for the third quarter 2018, excluding items affecting comparability, is expected to be about half of the previous year’s, which was $48.6 million, converted to U.S. dollars. The report said the decline was “largely a result of the extremely warm and dry weather in Europe.” The company also is impacted by “higher costs for raw materials and new tariffs.”
Moore said the decision to close the plant was not easy.
“This has been a difficult decision and has come about after very thorough and careful consideration of all our options,” he said. “We recognizes the closure will have a significant impact on our employees, and we’re committed to supporting them through this transition.”