TOLEDO — Georgia-Pacific will lay off most of its hourly employees in Toledo for a week due to lack of demand.
Georgia-Pacific Public Affairs Officer C.J. Drake wrote in a statement on Tuesday, “Company leaders and experts at the local and corporate levels have carefully evaluated forecasted demand for the Toledo mill’s product (containerboard used in the manufacture of packaging boxes). This has included the effect of reduced demand on our ability to successfully compete in the current market. We’ve determined that the total volume we produce across all three paper machines at Toledo significantly exceeds current and predicted short-term demand.”
Accordingly, the company decided to cease all operations at its Toledo facility beginning Thursday, May 21, sending home most of the mill’s hourly staff, about 300 people. The statement said Georgia-Pacific’s current plan is to resume containerboard production a week later, on May 28.
“It goes without saying that this was a difficult decision to make, and we understand the concern and anxiety it may cause our employees, those who depend on them and the communities in which they live,” the statement reads. “During the temporary closure of the mill, we will maintain our readiness to resume production. In the meantime, we continue to encourage our employees and fellow Oregonians to comply with public health measures to protect against COVID-19.”
Georgia-Pacific is one of the county’s largest employers and its largest property taxpayer, with $3,338,458 paid in 2019-20.