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300 Verso workers notified of layoffs

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The Verso Androscoggin mill.
The Verso Androscoggin paper mill in Jay.

JAY – Verso Corp. announced on Monday that 300 workers were notified last week they will be laid off in 60 days or by mid-December.

On Aug. 20, Verso said 40 percent workforce would be reduced at its Androscoggin Mill or 300 of the 863 people employed by the mill. The No. 2 paper machine was shut down on Saturday and the No. 1 pulp dryer earlier this month.

Verso Corporation, headquartered in Memphis, Tenn., cited “secular decline” of the North American coated paper market and high operating costs in Maine as reasons for the layoffs.

Shutting down the two machines will reduce Verso’s production capacity by 150,000 tons of coated paper and 100,000 tons of dried market pulp.  Demand for North American coated paper had declined 4.7 percent in the first two quarters of 2015, Verso said in August, following declines of 3.4 percent and 4.3 percent in 2014 and 2013, respectively. Verso is also idling a coated paper mill in Wickliffe, Kentucky, resulting in 310 layoffs.

With the announcement Maine’s congressional delegation requested that the U.S. Department of Labor approve federal funding to assist the 300 Verso mill workers impacted by planned shutdown of two machines.

Trade Adjustment Assistance is federal funding that can provide support, including training, job searching and worker assistance benefits, for employees that either lost their jobs or suffered a reduction in wages or hours due to foreign imports or competition.

Locally, state and regional agency representatives have formed a transition team to assist with employee needs. That effort is being organized by the United Way of the Tri-Valley Area, Maine Department of Labor, the Wilton CareerCenter and state Rep. Paul Gilbert of Jay.

Mill workers seeking information should stay in contact with the mill’s HR department and Tom Hagerstrom of MDOL. Lisa Laflin of the United Way said she can also help direct questions by contacting her at 778-5048 or emailing her at lisa@uwtva.org.

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12 Comments

  1. What about other job loss this will affect? Like local lumberman, truck drivers etc. Is there help for them too?

  2. Sorry for the loss, for everyone involved and will be effected.
    I do hope this is the last straw, of the many straws that are our reality, that is enough to shake those in denial about the need for better choices in the tri-town and school system budgets.

  3. A sad day for the area. Downsizing effects not only the employee but the families of the employees. Life goes on but for those that have adjusted their lifestyles to the pay and benefits of the paper industry it is sometimes hard to recover from the loss. The ripple effect to the region will be felt by all. I wish you all the best and hope that new doors open for you as you work through this period in your life.

  4. Sad. Same story, different industry. Canning companies, tanneries, shoe shops, woodenware mills, logging companies, now paper companies. Plus all the businesses, schools, etc., those jobs supported. Like pick-up sticks or jenga. Maine entrepreneurs needed. Best wishes!

  5. So what’s left? No future for our kids so the majority of them will leave in search of decent jobs. I see no end to Central Maines decline, it will soon be a place of old people, vacationers, and the services needed to support them. Not a healthy economy.

  6. These announcements are made and 300 people lose their job. Hope remains with those still employed, but lingering doubt must also exist as to viability for the future and jobs.

    The time to begin serious exploration of new employers is at hand and it must be a regional effort. This includes a broad consortium of people who establish a mission, goals and objectives and a plan that includes communications, recording, assignments and all manner of strategic planning. Preparation for the “potential of new sources of employment” means appropriate mechanisms are in place to get ahead of the next lay off. The history and probability should prompt immediate orchestration of people in a position to make this happen.

    Waiting until the game is ending is too late. Proactive engagement by Franklin County citizens, elected officials, appointed officials, and other public/private organizations need to form a line to make this happen. We have adult educators, workforce development, availability of educational institutions and other resources to help with the skills and knowledge upgrading, and not wait until the light go out. Commitment is the key and proactive steps must become the new mantra,

  7. This is just a foreshadowing of things to come. I get that these traditional forms of industry have been dying for some time in Maine but wait until the TPP kicks in. Nothing upsets me more to see big gov destroy everything that made this country great, in the name of globalization. It saddens me to see the place of my youth continue to struggle economically. I left 20 plus years ago and still can’t justify moving back, as much as I would like to.

  8. This is a very difficult time for these folks, I can only imagine. but ,then, there has been lots of warning Lots of time to begin to learn other skills In my opinion we have too many people who think it is fun to say they cannot turn a computer on. People who are not prepared in school to stay and create jobs and be entrepreneurs I meet lots of 12th graders who cannot tell me what 10 percent of a number is. If we want economic recovery we need parents and schools to have much higher standards and we need policies that can help people retrain for the industries like service, ecotourism ,health care , and technology where there are jobs

  9. In regards to Concerned Citizen post. I’m not up on the programs or their policies, but, I believe people in associated industry, as you’ve listed, loggers, pulp truck drivers etc. May be able to get help for retraining or education in other sectors with jobs. The Career Center would be the place to go ask questions, don’t be shy about it. Squeaky wheel gets the oil.

  10. Definitely a sign of the times, probably no end in sight. The fact remains that the paper industry here in the United States cannot continue paying it’s workers $25/$30 hr when competitors out of the country are paying $5 hour for the same work. Less demand for magazines and newspapers combined with the relatively cheap imported paper will spell out doom for Maine’s paper industry.

  11. I’m so glad I moved away from that state I can’t understand why Maine loses all thereindustries i drive truck for a living and drive state too states and look at all the work that’s out here and then wonder why main has nothing too offer its people for work its such a shame . the only way life should be in Maine is on vacation or have lots of money good luck too y’all loggers/paper workers/everyone affected hope it allworks out for everyone

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