Layoffs Planned at Genesis Alkali

Layoffs Planned at Genesis Alkali

Genesis Alkali photo

GREEN RIVER — Union workers at Genesis Alkali were informed of a reduction in force this morning as the company navigates financial issues related to a decline in soda ash demand.

David Caplan, director of corporate communications for Genesis, declined to identify the number of employees impacted by the reduction, but said hourly and salary employees would be affected. He said the company did initiate cost-saving measures that had some success, but wasn’t enough to prevent the company from laying off workers. He said the company’s announcement today started a 30-day process that will end Dec. 5 where most of the impacted employees will be let go. Caplan said the company chose Nov. 5 to inform workers as nearby Tata Chemicals is hiring and the window for applications closes today, as they hope some employees can apply for jobs at Tata after being informed their jobs will be eliminated. Caplan said decisions like this are always difficult for the company and layoffs are a last resort for Genesis.

“We regret to inform you that we have determined a reduction in force will be necessary to help us remain competitive globally and maintain our position America’s lowest cost producer of natural soda ash,” an internal memo signed by Fred von Ahrens, vice president of manufacturing for Genesis Alkali and Human Resources Director Tammy Fennell reads.

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While Caplan said the process would end Dec. 5, the memo notes an unspecified day at the end of December when the company anticipates it will be done providing notice to employees impacted by the layoffs.

“We recognize the uncertainty this creates for all our employees. You should expect additional communications regarding other changes to our current operations and procedures over the coming weeks,” the memo states.

Caplan said the company has navigated situations like this before, most recently during the COVID-19 pandemic. He cites an imbalance between the global supply of soda ash and demand as the main issue driving the reduction in force.

“We’ve been through this before,” he said. “Every so often you get this supply-demand imbalance.”

United Steelworkers Local 13214 President Marshal Cummings questions the necessity of laying workers off, saying he thinks the company has other options available to it.

“I feel like we have the ability to hang on,” he said.

Cummings said he was laid off when he was an employee at OCI and was called back to work a few months after he lost his job. He alleges the company is treating employees as if they’re only numbers on a spreadsheet as opposed to people and said the company is not open to negotiations that would allow workers to receive a buyout or be furloughed. He also questions why Genesis Alkali is laying workers off while Tata Chemicals is hiring. He said Tata’s Plant Manager, Roger Hoopes, the United Steelworkers Local 15320, and others at Tata have committed to bringing on as many of the impacted employees as they can — something Cummings is thankful for.

With the union employees, Caplan said they have some contractual rights to being called back to their jobs if the company needs to hire employees. The workers are represented by the United Steelworkers Local 13214. Cummings said employees will be brought back based on seniority, with the most senior employees being brought back first. For now, Cummings said the union will do everything it can to assist affected employees and work towards negotiating with Genesis to provide some form of assistance through a contract buyout, continuation of company insurance, or a furlough.

“That’s why you have a union — to negotiate better outcomes for employees,” he said.

Cummings also said the union will look deeper into the reasons behind Genesis’ reduction in force.

“We’ll do our due diligence to find out what went wrong where one company is hiring and another is laying off,” Cummings said.

Wyoming Workforce Services plans to host a rapid response event for workers impacted by the layoffs, but a time and date for the event was unavailable as of this post. SweetwaterNOW will follow up as more information is available.