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IP to terminate 33 workers on May 21

By Charlie Passut

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Published: March 19, 2010

FRANKLIN—International Paper Co. has announced that it will terminate 33 hourly employees from the Franklin mill on May 21.

The announcement was made in a letter dated March 18 that IP sent to Isle of Wight County Board Chairman Phillip Bradshaw in compliance with the Worker Adjustment and Retraining Notification Act.

Of the terminations, 23 are paper mill employees, eight are in the power and recovery department and two are maintenance workers.

All of the affected workers belong to one of three unions at the mill. IP said that of the 33 workers to be let go, 23 — the paper mill employees — are members of Local 1488 of the United Steelworkers of America and 10 are with Chapter 176 of the National Conference of Firemen & Oilers District of Local 32BJ/SEIU.

The third union at the mill is Local 505 of the United Steelworkers of America.

IP also announced changes to the termination dates for four salaried employees in the planning, shipping and distribution department. Two employees who were originally scheduled to terminate on May 31 will now do so on June 30. Two additional employees who were to terminate on June 30 will now be let go on July 31.

“Since this is a permanent closure of the entire facility, ultimately no bumping rights will exist for any affected employees,” wrote Stephen Russo, the mill’s human resources manager. “However, because of the phased shutdown of the mill, there will continue to be opportunities for bumping for hourly union-represented employees by seniority pursuant to the collective bargaining agreement. There is no opportunity, however, for impacted salaried employees to exercise bumping rights.”

Russo added, “All employees have the opportunity to apply for available positions at any other International Paper facility.”

The WARN letter did not indicate how many employees were hourly and how many were salaried. In February there were reportedly about 700 hourly and 110 salaried workers at the mill.

IP announced Oct. 22 that it would close the Franklin mill as part of a strategy of reducing production capacity. The company shut down the No. 6 paper machine at the mill on Nov. 9 and the No. 1 paper machine at the end of 2009. On Feb. 26, IP announced that it would shut down the Nos. 4 and 5 paper machines on April 15 and then terminate 106 employees on April 30.

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posted 3/19/10