Viracon announces profit sharing payout, reduction in work force
Officials at Viracon, Owatonna, Minn., announced a profit sharing payout for the fourth quarter of $472 per employee, rounding out total payout for the past 12 months to more than $2,200 per employee, according to a Dec. 18 company release. The announcement was made during the company’s December employee meetings.
The meetings included comments from the Viracon executive management team discussing the business outlook for 2009. “Viracon is facing its most challenging economic times in company history,” said Russ Huffer, Apogee president and CEO via a company video. Viracon executives echoed the sentiment, according to the release.
To meet those economic challenges, the company will reduce its work force at the Owatonna facility, according to the release. This announcement comes after a work force reduction in Georgia this past October involving 164 employees, and in Utah, through a hiring-freeze. The Owatonna work force adjustments will be made in January.
“We’ve seen numerous architectural projects cancelled or placed on hold as a result of the credit crisis in our nation,” said Christine Shaffer, Viracon marketing manager, in the release. “These cancellations directly affect our business. The continuing economic downturn has translated into a very difficult decision for Viracon.”
“Every effort was made to avoid a work force reduction, including idling our three plants for brief periods of time,” said Jim Wendorff, vice president of human resources, in the release. “It became clear very recently that the rapidly deteriorating market conditions unfortunately required us to take further action.”
Those impacted will be given notification and severance based on length of service. To help those employees, Viracon will host on-site representatives from the Work Force Development Centers to aid in facilitating filing for unemployment benefits, according to the release.