Gerdau Ameristeel has informed SteelOrbis that it is still exploring options for possibly keeping its Sand Springs, Oklahoma mill open, and denies local reports which said the mill would close indefinitely in October.
The company says it did issue Worker Adjustment & Retraining Notification Act (WARN) notifications to workers at its Sand Springs, Oklahoma mill earlier this week, giving the employees advance notice that they may be laid off. However, it the company is still considering whether to idle the mill. The company has issued the following statement regarding the Sands Springs mill:
“Gerdau Ameristeel issued Worker Adjustment & Retraining Notification Act (WARN) notifications to workers at its Sand Springs, Oklahoma mill on Monday, August 17, 2009. The WARN Act is a federal law which requires employers to give advance notification to workers when faced with layoffs.'The WARN notifications are intended to give our employees a 60-day notice and provide transition time to adjust to the prospective loss of employment, pursue other employment opportunities and seek assistance with training and other programs that will help them successfully compete in the job market,' said Robert Bullard, Vice-President and General Manager of the Sand Springs mill.
Last week Gerdau Ameristeel announced that it may idle the Sand Springs mill for up to 24 months while it reviewed a proposal from the State of Oklahoma aimed at keeping steelmaking operations in the state. According to company officials, all of the options under review would require the company to suspend production due to decreased demand, over capacity, and the amount of time it would take to implement mill upgrades.
'The WARN notices are an administrative requirement designed to assist our employees during this difficult period,'said Terry Sutter, Vice President and Chief Operating Officer of Gerdau Ameristeel. Sutter noted that the company will continue to diligently work with the State of Oklahoma and City of Sand Springs to carefully analyze the proposal. He indicated that a final decision has not been made on whether or not to maintain operations in Sand Springs.”