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Great Northern Paper Tells Workers They're Out of a Job

http://www.catecapital.com
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http://www.greatnorthernpaper.com

East Millinocket, Maine - Great Northern Paper has notified workers that were temporarily laid off in February from the company's East Millinocket plant that they're now out of a job.

In a press release, company officials say they issued so-called WARN Act notices to employees today, which is required when a company has a certain percentage of its workers laid off for more than six months.

The Worker Adjustment and Retraining Notification Act also requires employers to provide 60 days notice in advance of plant closings and mass layoffs, according the the U.S. Department of Labor.

GNP laid off more than 200 of its approximately 250 workers in February, saying the layoffs were temporary.  The notices sent out today indicate that the layoffs could be permanent, but company officials say that doesn't necessarily mean the plant is closing for good.

"While this is a mandatory issuance, officials at GNP remain committed to working towards a restart of the East Millinocket facility, and will continue to explore all possible options to facilitate a successful restart," officials say.

The company will retain a small staff to maintain the plant and its assets as it seeks to restart the operation, officials say.

Great Northern Paper's two mills, one in East Millinocket and the other in neighboring Millinocket, were acquired by New Hampshire-based Cate Street Capital in 2011.

The company's plans for a wood pellet plant that the Millinocket site suffered a setback in April when the Finance Authority of Maine scaled back its loan approval for the project from $25 million to $16 million.

 

Barbara grew up in Biddeford, Maine. She earned a master’s in public administration from Harvard University’s Kennedy School of Government and a bachelor’s in English from the University of Southern Maine.