Despite Trump Tax Cuts, Illinois Employers Warn Of 1,200 Upcoming Layoffs

The recent tax cuts won’t save 1,200 employees from losing their jobs in Illinois.

The Chicago Tribune reports:

“Illinois employers notified the state of nearly 1,200 upcoming layoffs last month, some driven by manufacturing plant closures.

Armacell, which makes foam components at a factory in South Holland, will lay off 87 people when it closes the plant by the end of the year.

The decision stemmed from ‘constraints of the existing equipment and a change in the competitive landscape,’ said Tom Anen, spokesman for the German company.

‘To remain competitive, Armacell constantly evaluates its global manufacturing footprint and the decision to close the plant was taken after assessing all strategic options available,’ he said in an email.

Armacell continues to operate five manufacturing plants with 550 employees elsewhere in the United States and recently expanded plants in Oklahoma and West Virginia to meet growing demand, Anen said. The South Holland plant that is closing, which has been in operation since 2004, makes polyethylene foam components for the automotive, industrial and sport and leisure markets.

Those workers, who will receive transition services as they search for new jobs, are among 1,195 people affected by upcoming cuts reported to the Illinois Department of Commerce and Economic Opportunity in August. State law requires large employers to give at least 60 days’ notice of a plant closure or mass layoff, which is defined as a third of the workforce at a single location.

The largest reported layoff was 369 employees of Aramark Campus Services as a result of lost food service contracts at University of Chicago Medical Center and Ingalls Memorial Hospital in Harvey. But those workers are not necessarily out of a job because typically they are picked up by the new contract provider, said Aramark spokesman Chris Collom.”

For the rest of the story, visit the Chicago Tribune here.

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