UK-based steelmaker Liberty Steel Liberty Steel has begun placing employees at its Illinois plant in the US on temporary furlough as weakening demand in the industrial wire products market continues to weigh on operations, according to media reports.
Accordingly, the workforce adjustments are temporary and are intended to align production with current customer demand, adding that it expects affected employees to return once market conditions improve.
Majority of wire mill workforce affected
According to Liberty Steel, the furloughs primarily affect employees at the plant's wire mill, where industrial fencing, wire products and other finished goods are manufactured.
The plant employs just over 600 workers, with approximately 300 employees working in the wire mill. The company said a majority of those workers are expected to be affected, although the exact number has not been disclosed. Different groups of employees are being placed on furlough in phases.
The company also said the market has been affected by increased volumes of unfairly traded imported products, which have added pressure to domestic producers. A company spokesperson stated that, like many manufacturers, Liberty Steel periodically adjusts production levels to match customer demand while protecting the long-term health of the business.
