VALLEY HEAD, AL (WAFF) - There will be several jobs cut at Shaw Industries, Inc. in Valley Head, according to Al Scruggs, HR Director for Manufacturing and Distribution at Shaw Industries.
Scruggs said they are having capacity issues at their plant and are transitioning from a four-shift operation to a two-shift operation over the next few weeks.
There will be about 160 jobs lost due to this transition.
This plant makes yarn for carpets and the demand for the carpets are down, so this move is an adjustment for demand.
HR representatives from Shaw Industries will be helping the employees affected by this transition and will try to get them jobs in other Shaw Industries, Inc. plants elsewhere if they are willing and able. Those that are not willing or able to transfer to other Shaw Industries, Inc. plants will be helped by the Alabama Economic Development Group to find new jobs, according to Scruggs.
He said Shaw Industries, Inc. is actually adding jobs and facilities in the U.S., but this particular facility makes yarn for a product that is declining in sales.
The cut will be a big blow to Valley Head, according to the DeKalb County Economic Development Authority. Shaw Industries has the largest amount of employees in Valley Head.
The loss of about 160 employees at Shaw Industries, Inc. is higher than the next three highest employers' number of employees combined:
- Fritz Structural Steel - about 50 Employees
- Harco Metal Products, Inc. - about 50 Employees
- Inspec Tech - about 20 Employees
The Valley Head mayor, Scott Gifford, said this will definitely hurt the local shops and restaurants in Valley Head.
"We'll stay the course and continue to try to attract more industry," Gifford said. "And that can be difficult for a small community to attract industry."
He confirmed that Shaw Industries is by far the largest industry in Valley Head. Gifford is not surprised by this announcement because the plant has had to reduce hours in the past few months and Shaw Industries, Inc. told the town that the sales of their products were down.