Arauco Announces Layoffs At North Carolina Plant

Arauco Panels USA, an American subsidiary of a Chilean plywood manufacturer, is cutting jobs in Chatham County.

That’s according to a WARN filed with the state of North Carolina this month. A WARN – Workforce Adjustment and Retraining Notification – is a filing that is required when a company closes a plant, cuts 500 jobs or eliminates one-third of its local positions. The move, effective Jan. 6, impacts 48 jobs in Moncure, according to the notice.

According to the WARN, the move is a downsizing – not a closure – of its particleboard facility, impacting jobs in a variety of functions, including human resources, finance, production and sales.

“The layoffs are due to a downturn over the last several months in the market,” reads the notice signed by Sally Polen, manager of human resources for Arauco North America. “Although our sales team has been working hard to combat the market conditions by revising pricing strategies and engaging our existing customers while actively seeking new customers, unfortunately, our efforts have not surpassed the market pressures on our volumes.”

The plant has “struggled” to maintain a normal order volume, the notice continues, adding that other measures the company has taken include reduced hours, reduced overtime and overall cuts in spending. Forecasts, the filing reads, show similar volume weakness in 2017.

From the Triangle Business Journal: bizjournals.com.

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