Wednesday, January 16, 2008

Rumford Mill Shuts Down #11, Lays Off 60

Story Updates - Jan 16, 2008 NewPage Corporation today announced the closure of papermaking machines at four of its mills, with a total workforce reduction of 650. Almost ten percent of the jobs lost are at the company's Rumford mill.

Following its merger with Stora Enso North America last fall, the company had promised savings of a quarter of a billion dollars as it sought to optimize its coated-paper production. At the time, officials at the Rumford mill sidestepped questions from its Community Advisory Panel as to whether layoffs might be in store.

Earlier this week local mill management postponed a meeting of the CAP originally scheduled for this afternoon. The meeting will take place instead on Wednesday, January 23. An e-mail to CAP members has explained that an early retirement package will be offered to approximately 70 hourly employees in the hope that the number of outright layoffs can be minimized. As well, "five to seven salaried employees will likely be displaced."

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