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Mon, Oct 2, 2023 01:30
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LSC Communications Facility Closing Doors By September; Building Already Sold

INDIANA (From news reports) -- The closing of LSC Communications in Warsaw, Indiana will impact over 500 workers.

Warsaw Mayor Joe Thallemer said he received a call from Division Director John Pierog at about 8 a.m. Tuesday that LSC was getting ready to tell their employees of the closure.

In a letter to Thallemer from Ernest Carey, chief operations officer, MCL Solutions, Carey states, "The closure of our Warsaw plant was a very difficult decision to make, and it weighs heavy on our hearts. Our team members in Warsaw represent the finest of the finest, and if it were only for them, we would still be a thriving business. Unfortunately, the demand for gravure printing - that once made this a thriving business - no longer exists in the market. With ink and paper costs rising and page counts lowering, catalogs and magazines are either switching to offset printing or greatly reducing their print runs. With respect to gravure printing and here in Warsaw, we held in there as long as we could.

"I again give you my word that LSC Print Solutions will do everything we can to help our team members through this transition. We look forward to working with the Kosciusko Economic Development Corporation as well as leaning into our own resources to schedule job fairs quickly, provide career training, and offer other support as needed. Sara from our team and I will reach out to Alan tomorrow. Today was all about us striving to communicate to our team members the right way and give them our commitment of help in the process. We are confident that your team and the EDC will be a huge help on this."

A copy of the local government notice of plant closing pursuant to Worker Adjustment and Retraining Notification (WARN) Act states that the first date of separation for LSC Print Solutions Warsaw Plant is expected to be between Sept. 10 and Sept. 24. Approximately 525 employees will be separated, and there are no bumping rights. There also are no bargaining representatives representing affected employees at the facility.

"This plant closing is expected to be permanent; the entire plant will be closed," the notice states.

LSC Communications began in 2016 when R.R. Donnelley, the commercial print and logistics company, decided to divide its services into three separate companies, according to the LSC website. In 2020, LSC was acquired by Atlas Holdings.

LSC had two plants in Lancaster, Pa., which closed earlier this year.

The biggest impact will be to the approximate 500 workers who found out Tuesday morning that they would be losing their jobs, Thallemer said. He said many of the employees put in their time and were there for a long time, they have families, and were told Tuesday that the plant will close in September. It will be an adjustment to those employees to find other jobs and retrain. Kosciusko Economic Development Corporation will be working with Workforce One to help the employees as they can.

In a letter that employees received Tuesday morning about the plant closure and layoffs, it also states the plant closing is expected to begin Sept. 10 and be completed by Sept. 24. The plant closing will be permanent.

Thallemer said he also was told the building was sold to a developer. He was assured that the developer will try to fill that building with other industrial companies so the building will not sit idle and go dark.

After LSC closes in mid-September, they will have until the end of the year to get their equipment out, Thallemer said he was informed, and shut down.

"It will be a difficult time for folks as they endure the loss of their jobs and retrain for a different job. Our hearts go out to all the employees and their families," Thallemer stated.

The letter to employees states that dislocated worker assistance is available through the Indiana Department of Workforce Development, Indiana Government Center South, 10 N. Senate Ave., Indianapolis, IN 46204; by phone at 317-234-8576.

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