News Summary
In Michigan, seven companies have announced significant layoffs affecting approximately 700 workers this month. The workforce reductions stem from acquisitions and operational consolidations, complying with the WARN Act. Among the affected, LACROIX Electronics and Flagstar Bank stand out with considerable job cuts. The layoffs highlight broader trends in the employment landscape, as companies adapt to shifting market dynamics. Workers facing job loss are eligible for various support programs aimed at easing the transition to new employment opportunities.
Michigan—In a significant setback for workers in the state, seven Michigan companies have announced major layoffs this month, affecting a total of 700 employees. The workforce reductions, attributed to acquisitions, consolidation of operations, and business necessities, follow notices filed under the Federal Worker Adjustment and Retraining Notification (WARN) Act, which mandates at least 60 days’ notice for mass layoffs.
LACROIX Electronics
The electronic manufacturer LACROIX has revealed plans to shift its production operations outside of North America. As part of this strategy, 115 employees at the Grand Rapids facility will see their jobs eliminated, with layoffs commencing this month and expected to conclude by the end of the year. Furthermore, the closure of the company’s Juarez, Mexico site will lead to an additional 1,251 layoffs. The decision comes amidst a 15% decline in North American revenue, compounded by uncertainty surrounding tariffs.
Flagstar Bank
Flagstar Bank, following the sale of its mortgage servicing business to Nationstar Mortgage, has announced further layoffs. Effective June 8, 40 employees were laid off, with an additional 12 slated for termination on June 30. Earlier WARN notices indicated that a total of 424 employees in Troy would be impacted, joining the 60 workers laid off in Jackson and 113 in Troy earlier this year.
Aramark
In a related development, Aramark is set to lay off all 137 employees at Wayne State University by June 30. The layoffs come after the university opted not to retain Aramark for its food and facilities management services. The affected positions include both salaried and hourly roles, such as accounting clerks, catering directors, and cooks.
Tribar Technologies
Tribar Technologies, an automotive supplier, will close three of its facilities located in Wixom, resulting in 188 layoffs effective by June 8. The facilities will be merged into two existing plants in Howell, following the company’s recent sale, which necessitated consolidation of operations.
Heartland Recreational Vehicles
The RV manufacturer Heartland Recreational Vehicles is slated to close its Sturgis plant on June 20, eliminating 121 jobs. This closure has been attributed to business necessities, following the company’s previous decision to shut down a facility in Nampa, Idaho, impacting another 70 workers.
Conagra Brands
Food manufacturer Conagra Brands will also be affected, as it plans to close its Fennville facility, resulting in the termination of 75 employees. These layoffs are scheduled to occur on June 27 and August 29, impacting both production, maintenance, and management, as well as administrative roles within the company.
United States Cellular Corporation
Finally, United States Cellular Corporation is in the process of selling its wireless operations, which will lead to the termination of approximately 4,100 employees nationwide, including 12 remote workers in Michigan. Layoffs were anticipated to begin on or after June 2, although T-Mobile has made arrangements to offer employment to many of the affected workers.
Broader Context
The layoffs reported by these seven companies illustrate a troubling trend in the Michigan job market, driven by both internal restructuring and external market pressures. Companies are consolidating operations and reducing their workforce as they adapt to changing economic conditions, competitive pressures, and shifts in consumer demand. The impact of these layoffs is sure to reverberate throughout local communities as affected employees seek new employment opportunities.
Workers facing layoffs are entitled to assistance under various state and federal programs designed to aid in retraining and finding new jobs. These programs may help mitigate the financial impacts of these significant employment losses.
Deeper Dive: News & Info About This Topic
- MLive: Michigan Companies Job Cuts
- Wikipedia: Layoff
- CBS News: Blue Cross Blue Shield Layoffs
- Google Search: Blue Cross Blue Shield Michigan layoffs
- Fox 2 Detroit: Blue Cross Blue Shield Layoffs and Buyouts
- Encyclopedia Britannica: Economic Recession
- Detroit News: Blue Cross Blue Shield Job Cuts
- Google News: Michigan job cuts
