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Management Side
Wood products company abruptly closes 3 Wisconsin plants, lays off 138, draws union complaint

GOODMAN, Wisc. (From news reports) -- A carpenters union filed a complaint with the Wisconsin Department of Justice after a lumber manufacturing company notified the state one day before it closed three plants and lay off 139 workers.

Besse Forest Products Group on Aug. 1 sent the Wisconsin Department of Workforce Development notices that it would close Wisconsin Veneer and Plywood plant in Mattoon (42 employees), Birchwood Manufacturing Company in Rice Lake (46) and the Goodman Veneer and Lumber plant in Goodman (48) the next day, Aug. 2.

The company in each letter said it was sorry for the lack of notice but said "an unprecedented industry downturn" made it clear the revenues will not support each of the three facilities.

"After exploring restructuring alternatives, we have determined that Wisconsin Veneer and Plywood will cease operations. Therefore, we are providing as much notice of the closing as is practicable in the circumstances, pursuant to federal and state WARN laws," Chief Restructuring Officer Tim Turek wrote in the letter.

The North Central States Regional Council of Carpenters (NCSRCC), which includes a carpenters union representing some of the 42 workers laid off in Mattoon, said the notices violate the Wisconsin Business Closings and Mass Layoff Law. The law states any employer with more than 50 employees must notify the state 60 days in advance of any temporary or permanent closure of a site that affects more than 25 employees.

The union on Aug. 2 filed a complaint with the Wisconsin Department of Justice asking it to investigate.

The Wisconsin Department of Justice did not return a message request for confirmation of the complaint's status. Interview requests emailed to Besse Forest Products and the Hoffman Group of Companies were not returned.

The lack of notice put all 139 workers impacted at a disadvantage, said Burt Johnson, general counsel at the NCSRCC. The regional council represents more than 40 local carpenters' unions in Iowa, Minnesota, Nebraska, North Dakota, South Dakota and Wisconsin.

The union on Aug. 2 filed a complaint with the Wisconsin Department of Justice asking it to investigate.

The Wisconsin Department of Justice did not return a message request for confirmation of the complaint's status. Interview requests emailed to Besse Forest Products and the Hoffman Group of Companies were not returned.

The lack of notice put all 139 workers impacted at a disadvantage, said Burt Johnson, general counsel at the NCSRCC. The regional council represents more than 40 local carpenters' unions in Iowa, Minnesota, Nebraska, North Dakota, South Dakota and Wisconsin.

The carpenters union also requested Besse officials meet and negotiate the terms of the Mattoon facility's closure as is required by federal law. He said officials from Besse Forest Products have "acknowledged they have an obligation to bargain with us."

Johnson said the carpenters unions "have the resources to help" any of the workers laid off regardless of whether they are members of a union.

"We are open and willing to serve as a resource for any of the affected employees looking to connect with resources and retraining," Johnson said.

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