I would like to thank for your time to spend on Weymouth Steel Corporation and believe you have good working opportunities when you have been in the corporation.
Over the past few years, because of economy crisis, an estimated 25% fall in business and the anticipated capital spending expenditures of $2 billion a year. In addition, Weymouth has more competitive in the European and Japanese markets, so the company needed to purchase and install new processing machines and to construct state of the art rolling and hot-strip mills. All of things make the business of Weymouth also became difficult.
To solve the crisis, the company has initiated the major cost-cutting measures for example, shutting down several smaller and less efficient mills and processing plants, restricting the use of overtime and the hiring of temporary salaried employees. In addition, we are faced with the task of laying off 2,000 of our most valued. The layoff process begins with nearly 1000 of these staff will come through normal attrition, early retirement, and transfers. Furthermore, the other 1000 positions must be cut both salary and hour.
Besides unfortunate news, Weymouth tries to give good news for those not being laid off, there will be salary increases as well as improved benefits. Company also assists layoff staffs with following benefits.
1. A salaried employee with 1 or more years of service will be eligible for a termination payment. 2. The employee will also be paid for unused vacation for 2004 and vacation accrued for 2005. 3. Insurance coverage will continue for 1 month after layoff and could continue beyond 1 month by Weymouth at a reasonable rate. 4. Members of the United Steel workers of America will receive a substantial portion of their base pay between Supplemental Employment Benefits and state unemployment for up to 2 years depending on service to the company.
I know the news will make someone’s live become not easy, but it is an important step to take it ensuring the company’s longevity. Therefore, all Weymouth staffs must attempt to overcome this crisis together.
Layoff will begin through October 31. Each Weymouth staff will receive individual letters about the future with Weymouth by a manager of each department. Besides, employees feel free to contact with the personnel department with any questions or concerns during this process.