A company-wide internal memo issued Monday at Genesis Alkali announced the company intends to layoff an unspecified number of employees, both hourly and salary. A plan is expected to be finalized by the end of June.
Genesis Alkali declined to comment on the memo.
The memo, from Executive Vice-President and President of Genesis Alkali Ed Flynn, cited “severe demand destruction” in natural soda ash as the main reason for the reduction in workforce.
“Despite the temporary shutdown of Granger, employee furloughs, and tremendous work being done on other cost improvement initiatives we have undertaken since March, these actions have proven insufficient to counteract the significant declines in volume we have experienced,” Flynn wrote in the memo.
Flynn said reducing employee numbers was an unavoidable action the company has to take, saying discussions about how the company will move forward started this week. Employees impacted by the move will be at its facility west of Green River and the company’s offices in Philadelphia. Flynn said the company intends to keep the process as transparent as possible.
“I had hoped we could avoid taking this difficult action, but we have exhausted all of our other options,” Flynn wrote. The coronavirus pandemic has impacted the area’s trona mines significantly. Some of the area’s mines have been forced to furlough workers in the hope the pandemic’s impacts on industrial activity end within a few months.
However, as demand for glass and other industrial products using soda ash declines, soda ash demand itself has declined as well.
Reader Comments(0)