News Summary
Georgia-Pacific, LLC has confirmed the closure of its containerboard manufacturing mill in Cedar Springs, resulting in over 500 job losses. The announcement was made in May and layoffs are set to be completed by August. In response, a $1.8 million Employment Recovery Grant has been awarded to assist displaced workers with job placement and retraining services. Local leaders are mobilizing efforts to support the affected community amidst fears of significant economic repercussions, including losses in tax revenue and wages.
Cedar Springs, Georgia – In a significant development for the local community, Georgia-Pacific, LLC has announced the closure of its containerboard manufacturing mill in Cedar Springs, impacting over 500 employees. The decision, conveyed to staff in May 2023, is set to complete most layoffs by August 1, 2023. Approximately 535 jobs will be lost, leading to serious implications for the local economy.
To alleviate the fallout from the mill’s closure, the U.S. Department of Labor has awarded a $1.8 million Employment Recovery Dislocated Worker Grant. This grant will be administered by WorkSource Georgia, an agency focused on federal workforce development programs, aiming to provide affected workers with job placement and retraining services. These resources will target individuals directly or indirectly impacted by the mill closure who reside in specific counties, including Baker, Calhoun, Colquitt, Decatur, Dougherty, Early, Grady, Lee, Miller, Mitchell, Seminole, Terrell, Thomas, or Worth.
The grant is designed to offer critical support in transitioning workers into high-demand industries, which could prove life-changing for many residents of the Cedar Springs area. WorkSource Georgia has planned to facilitate assistance through local offices located in Albany, Thomasville, and Moultrie. This initiative underscores the commitment to helping displaced workers quickly re-enter the job market.
Impact on Employees and the Local Economy
The closure of the Cedar Springs mill, which began operations in 1963, represents a significant shift for the local economy. At its peak, the facility produced up to 1 million tons of cardboard annually. However, Georgia-Pacific cited the inability to maintain competitive operations in the long term as the reason behind the closure, rather than the quality of work from its employees.
The economic ramifications extend beyond the immediate loss of jobs. Projections indicate that the mill’s closure could lead to a loss of $6.5 million in tax revenue and wages ranging from $8 million to $17 million for the region. Local businesses that rely on the mill’s workforce may also face financial difficulties, with reports already emerging of business closures and budget freezes enforced by local governments to manage the economic impact.
Community Response and Future Considerations
In response to the impending job loss, local leaders are mobilizing efforts to support displaced employees. Task forces are being established to connect individuals with employment opportunities, enhancing the community’s ability to recover from this setback.
There is also a concerted focus on diversifying the local economy. Community leaders stress the importance of reducing reliance on a single industry to mitigate similar crises in the future. Creating a more resilient economic landscape is deemed essential to ensure that the region can withstand future changes and challenges.
Georgia-Pacific’s management has expressed a commitment to assisting employees in finding new job opportunities, potentially within other divisions of the company or its parent company, Koch Industries. As workers face an uncertain future, the resources provided through the Department of Labor grant aim to facilitate a smoother transition into alternative employment paths.
As the Cedar Springs community braces for the changes ahead, the dedication of its leaders and agencies to support those affected by the mill’s closure will be crucial in fostering resilience and recovery in the face of economic adversity.
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Author: STAFF HERE SAVANNAH WRITER
SAVANNAH STAFF WRITER The SAVANNAH STAFF WRITER represents the experienced team at HERESavannah.com, your go-to source for actionable local news and information in Savannah, Chatham County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Savannah Music Festival, St. Patrick's Day Parade, and Savannah Jazz Festival. Our coverage extends to key organizations like the Savannah Area Chamber of Commerce and United Way of the Coastal Empire, plus leading businesses in aerospace, education, and logistics that power the local economy such as Gulfstream Aerospace, Savannah College of Art and Design, and Colonial Group. As part of the broader HERE network, including HEREAtlanta.com and HEREAugusta.com, we provide comprehensive, credible insights into Georgia's dynamic landscape.
