Columbus Castings, the largestin the nation, has told its employees they could lose their jobs, although efforts are underway to sell and continue with the business.
Executives south manufacturer and employer of 799 workers on Wednesday informed employees about the developments and is expected to formally notify them earlier Thursday, said Nick Crandall, human resources manager Columbus Castings’. The company must inform the State that the jobs could be in jeopardy if the plant is closed. Employers with more than 100 workers are required to give notice 60 days ahead of major layoffs or closings.
But can the company could save Parsons Avenue, Columbus Castings working with a potential buyer is willing to continue operations, the company said employees, and it is still running three shifts working and taking orders. Alternative financing is another option that could affect the future operations.
Whether the plant is saved or not, it’s a stunning reversal for a company that in 2014 due to 550 jobs over three years with the help of state incentives and city tax, the mayor drew notice and governor of Ohio. If the plant is lost, it would be a major blow to efforts on the south side of the city redevelopment.
A regulatory filing Thursday indicated that the workers would be dismissed starting June 21 and be gone by July 5.
Columbus is manufacturing Castings last vestige of the city, operating under different owners since the late 19th century. Its latest owner, New York private equity firm protostar Partners, a consortium run metallurgy similar businesses through Constellation Venture LLC, was recapitalized in February.
Moody’s Investors Service said the move was made “to avoid payment default event given the company’s limited sources of liquidity.”
Observed the plant revitalization effort of 1 million-square-foot location on 88 acres as the key to reform rough surrounding neighborhood.
Renewed shale oil and gas development and rail business helped drive to Columbus Castings, but activity has fallen off since the company announced its plans at the end of 2014 employment growth.