Continental Structural Plastics plans a major, but temporary, layoff at its Huntington, Ind., operation, which is also the site of a large expansion.
CSP will lay off about 164 employees for three months beginning July 31, the company stated in a May 26 notice sent to Indiana's Department of Workforce Development. CSP was obligated to send the notice to comply with the Worker Adjustment and Training Notification Act.
"CSP has received notice from one of our customers that their requirements will be idled for 3 months," CSP stated in a letter signed by Jerry Reid, plant manager for the firm's Huntington plant.
CSP said it made the decision after it "carefully analyzed this situation and its available options."
CSP revealed about a year ago that it is investing $33.5 million to expand operations in Huntington, including building a 130,000-square-foot facility adjacent to its current factory there. At the time, a news release issued by the Indiana Development Council indicated 323 workers were employed at the site and 80 new jobs were expected to be created by 2020.
CSP spokeswoman Kim Zitny said in a phone interview with Plastics News that the expansion is on schedule to be done in the fourth quarter of 2017. The layoffs give the company the opportunity to move equipment related to the expansion, she explained.
