TBO.com - TBO is Tampa Bay Online

Slowdown Hits Hardie; 79 Laid Off

ADVERTISEMENT

By GEORGE H. NEWMAN

The Tampa Tribune

Published: May 3, 2008

PLANT CITY - One of the city's largest employers, James Hardie Building Products , laid off 30 temporary and 49 full-time workers last week, citing the downturn in the construction industry.

The layoff leaves the plant with a workforce of about 180 workers, a company spokesman said. The plant, at 809 S. Woodrow Wilson St., produces weatherproof siding for residential and commercial properties.

The layoff is market-driven, said Joel Rood, a spokesman for James Hardie, an international company in the Netherlands.

"The construction demand is down. Housing starts are down all over the country. Our inventory is too high for us to continue in full-scale production. Something had to give," Rood said.
Rood said that at its peak, housing starts across the country reached 2.1 million in 2006. The projection for this year is less than 1 million, he said.

"Unfortunately it is a business reality that forces us to reduce production and lay off workers. Hopefully there will be a turnaround soon and we get these people back to work," Rood said.
Severance pay and other benefits were given to the full-time employees affected, Rood said.

Ronnie Carlough, one of the 49 workers let go April 22, said he had worked at the plant for about two years.

"After they let the temps go on Monday April 21, management asked all the permanent employees to report to work at 7 a.m.," Carlough said. "They had some of us go upstairs to a conference room, where they told us the bad news."

Carlough said the temporary workers were mostly laborers, with a few who were licensed to operate forklifts.

"The plant manager, Danny DeGuzman, talked straight with us," Carlough said. "It was pretty orderly, and some of the ladies in H.R. human resources were pretty upset about us leaving."

Carlough said he received all pay he was due and about $1,600 in severance pay.
Rood said the company also extended the workers' health care benefits and assisted in monthly insurance premium payments. Rood was unable to say how long those benefits would last.

"It's been a sad week for us," Rood said April 25. "Our employees are our most valued asset. We don't want to see any of them out of work. Hopefully the market will recover. That is what we most want to happen."

Carlough said he was told things could get worse.

"DeGuzman told us that if the housing industry doesn't recover there is a chance the home office will shut down the plant," Carlough said.

When asked whether the Plant City factory might close, Rood said that its future depends on the recovery of the market.

Mayor Rick Lott said he was unaware of the layoff.

"Everything is tied together, so the downturn in construction and the building industry in general is suffering from this economic slowdown we are going through," Lott said. "We have done well in Plant City in maintaining a workforce employed in the area."

The layoff at the building products plant comes a few weeks after another Plant City employer announced plans to let workers go. Poultry producer Pilgrim's Pride will close its Plant City distribution center on Jim Johnson Road and lay off 84 employees beginning May 12. It is one of six facilities closing among Pilgrim's 13 U.S. distribution centers and a processing complex. The company has said the closures are because of rising feed ingredient costs.

Reporter George H. Newman can be reached at (813) 865-4451 or gnewman@tampatrib.com.

Share this:

Loading Comments...

Email Print

ADVERTISEMENT