The closing of a La-Z-Boy Inc. upholstery plant in Mississippi will result in increased production at the company's plant in Siloam Springs.
La-Z-Boy, based in Monroe, Mich., said Thursday that it will cut its total workforce by 850 jobs, or 10%, and close a plant in Newton, Miss., which has about 300 workers. Production there will be shifted to plants in Siloam Springs, Neosho, Mo., and Dayton, Tenn.
La-Z-Boy said the Mississippi plant supplied about 10% of the company's upholstery needs.
Kurt L. Darrow, the company's president and chief executive officers, said the decisions were brought on by the coronavirus pandemic. The company temporarily closed its factories and retail stores early in the outbreak.
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"Since restarting production at the majority of our plants at the end of April, we have steadily increased production and continue to bring back more employees to meet demand," Darrow said in a news release. "As more states open and allow our retail partners to re-engage with their customers, we anticipate a stepped process of increasing production and bringing additional employees back to work."
Business on 06/06/2020