One of Clark County’s largest employers announced Thursday that about 45 full-time employees are being laid off.
One of Clark County’s largest employers announced Thursday that about 45 full-time employees are being laid off. Danfoss general manager Paul Dean said the company made its announcement to employees early Thursday morning. “Last year we announced we would be making major adjustments … which would result in job losses, some of which occurred last year,” Dean said. “This morning we just announced that 40 employees would be a result of that [reduction in force]. This is a continuation of a plan already put in place.” In 2011, 136 employees were laid off at the plant, which produces compressors, high-efficiency controls and variable frequency drives. After this week’s layoffs, 197 employees remain. Those impacted by Thursday’s layoffs were both “variable and fixed-cost employees”, Dean said. Dean called the Siftings to make the announcement, and said he did so to avoid rumors that more would be laid off or that the plant would be closing. “That’s just not the case,” Dean said. A press release from the company says the reduction is part of its “ongoing efforts to rescale the business to optimal performance. We are rescaling the factory to operate at reduced volumes; however, these reduced volumes will enable us to be profitable.” The layoffs stem from an apparent lull in the construction market and are a “necessary step in sizing the business to meet market condition,” according to the press release. “It is always difficult to reduce workforce,” Dean said in the release, “but the management team must adjust the business in order to secure our long-term success in this competitive market. Danfoss is committed to the US compressor market and to sustaining the long-term position of the Arkadelphia facility.” Asked if there are other layoffs planned in the foreseeable future, Dean replied that there are none “although declining negative events in the construction market may have a direct impact on our business.”