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Suzlon's mass layoff draws disappointment
Pipestone City Hall was among those notified today, June 5, that Suzlon Rotor Corporation was cutting its Pipestone workforce by 50 percent.
“There have been rumors for a month about what’s going on out there,” said Jeff Jones, city administrator. "Obviously, we're disappointed. We really hope they can make it through the economic downturn."
The wind energy manufacturer cut 160 out of 324 workers, Friday, at its Pipestone plant where it builds wind turbine blades.
The city received written notification from Suzlon by mail in what appeared to be compliance with the federal WARN act (worker adjustment and retraining notification act). The act requires employers to give notice when a mass layoff occurs which does not result from a plant closing.
The cuts pack a potent sting for the city. In return for job creation and economic development, the city overhauled the industrial park within which Suzlon constructed its plant in 2006 and gifted the wind component manufacturer with free land and state and local tax incentives.
Now the company is slashing its workforce not three years after it first opened its doors.
“It was a smack in the face,” said Mick Myers, executive director of the Pipestone Chamber and Visitors Bureau. “But we have to deal with it. We have an awful lot of people who aren’t going to be getting a check and everyone will feel that, from grocery stories to restaurants to gas stations.”
For more reaction to the Suzlon layoffs, read the June 11 issue of the Pipestone County Star.
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