ORWELL — More than 400 salaried and hourly workers at Kraftmaid Cabinetry, Masco Retail Cabinet Group’s three plants in Middlefield and Orwell received lay-off notices Friday morning. No breakdown was given as to the numbers losing jobs in each of the three Northeast Ohio plants, said Kathleen Vokes, corporate communications director.
“The challenging economic times, including an unprecedented downturn in the U.S. housing market and softening retail activity, led to the difficult decision. It’s all market driven,” Vokes said.
In January 2007, the company also laid off a slightly larger number of employees affected by a similar downturn in the housing industry, said Orwell Mayor Larry Bottoms. The company in mid-2007 began rehiring workers or calling back former employees.
“I was told the three plants employ 3,984 people. This lay-off should not affect the company’s Community Reinvestment Act tax abatement agreement with the village and Ashtabula County. It began in 1999, when the company built in the industrial park,” Bottoms said.
“The number of people laid off is concerning to me. It will have a ripple effect everywhere. It will affect our income tax collections for this year. Fortunately our other industries in the village are doing okay,” the mayor said.
Vokes said the company is providing assistance to help the affected employees through this transition. Masco Corp. is the parent company for Kraftmaid Cabinetry Inc., a non-union manufacturer of kitchen and bath cabinetry plus fixtures.
“Those whose positions have been eliminated have been treated with respect and dignity. We wish them well. Addressing difficult market conditions is always challenging, especially when people’s lives are affected.,” Vokes continued.
The lay-offs, while unfortunate, will help Masco Corp. officials to make the necessary adjustments to maintain its competitive position, she added.
Local News
Kraftmaid Cabinetry lays off more than 400 employees
Company cut a slightly higher number in January 2007
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