These York County companies announced major job losses coming amid cost cut measures
Two large York County companies recently announced major job losses,
Rock Hill-based digital manufacturer 3D Systems recently announced plans to cut annual costs by $100 million by the end of 2021. The move involves a nearly 20% reduction in the workforce. The company has more than 2,000 employees in 20 countries.
The company will focus on two markets — healthcare and industrials, Graves said.
“This reduction in force is a difficult but essential step in our ongoing strategic process, designed to better position the company for sustainable and profitable growth,” 3D Systems president and CEO Jeffery Graves said in a press release. “I would like to express my appreciation to each of the employees impacted by this decision for their dedicated service.”
Most of the job cuts will be made by the end of this year.
3D Systems was founded in 1986. The company moved to Rock Hill in 2005. It’s a leading company in 3D printing and, according to the company website, has applications in the aerospace, automotive, durable goods manufacturing, healthcare and teaching industries. In 2013, the company announced a $10 million expansion at its Rock Hill site and 145 new jobs.
Other layoffs
Fort Mill-based paper and personal care producer Domtar announced in its second-quarter report a $200 million cost-savings plan by the end of 2021 that includes eliminating 780 jobs.
Uncoated freesheet manufacturing operations will close at mills in Kingsport, Tennessee, and Port Huron, Michigan. The paper machine at an Ashdown, Arkansas, mill will close. So will a converting center in Ridgefields, Tennessee.
The company stopped production in April at paper machines in Kingsport and Ashdown as COVID-19 impacted the economy. Now the company says production won’t resume at those sites.
“This will create a stronger, leaner organization aligned to meet the needs of the business and our customers in a post COVID-19 era,” said Domtar president and CEO John D. Williams in a release.
The company has identified four large mill repurposing projects that could produce 2.5 million tons of containerboard and/or air-dried metric tons of softwood and fluff pulp. Those plans involve the Kingsport and Ashdown sites.
Domtar reported second quarter net earnings of $19 million, up almost four times from the first quarter and up from second quarter 2019. Second quarter 2020 sales were $1 billion.
The Fort Mill offices for Domtar, located in the Kingsley area, employ about 550 people. Those jobs aren’t part of the 780 job cuts mentioned in the second-quarter filings.
Domtar makes specialty paper, market pulp and absorbent hygiene products.
Unemployment claims
South Carolina had fewer than 9,000 unemployment insurance claims statewide for the week ending Aug. 1. It was the first week at fewer than 10,000 claims since the coronavirus pandemic began in March. At its high point in April, the state saw more than 87,000 unemployment claims in a week.
“People are reentering the workplace as employers find new ways to provide innovative and safe working conditions,” state employment and workforce department director Dan Ellzey said in a statement.
York, Lancaster and Chester counties are seeing similar trends. All three counties show a steady drop in unemployment claims since its highest mark in April. The most recent week ending Aug. 1, the tri-county area combined had 542 claims.
Chester County alone had more in a week in April, and Lancaster County had more in a week six times this spring. And, York County had more every week but one from mid-March to mid-July.
“With the latest restrictions removed last week on theaters, sports venues and concerts, the hope in the coming weeks is this will give a needed boost to many of our state’s desirable attractions and the talented hospitality-driven employees who work there,” Ellzey said.
This story was originally published August 11, 2020 at 10:45 AM.
