Blue diamond producers will permanently close its Sacramento flagship transformation factory, which will result in a loss of around 600 jobs in the region. The 115 -year -old company blamed maintenance costs and persistent ineffectiveness for closing.
The company will consolidate manufacturing work in its existing facilities in Turlock and Salida, which are located in the Central California valley.
“The work ethics of our Sacramento team and our incredible conduct allowed us to build Blue Diamond in what it is today,” said CEO and President Kai Bockmann Tell ABC News.
“However, the challenges of managing a factory of these historic buildings have become too expensive and ineffective. The rationalization of our manufacturing factories is the right commercial decision. ”
Founded in 1910, Blue Diamond has long been an element of the lighting in the California agricultural sector. Meanwhile, the cooperative offers compensation packages, relocation support and incentives to 600 employees to help the transition.
Despite the company’s insurance, the closure has aroused concerns about Sacramento’s ability to support large companies.
“The proof is in pudding,” said ABC News Sanjay Varshney, professor of finance at the Sacramento State University.,
“The blue diamond moving away is only another sign that something is wrong with the way we do business here.”
Varshney cited the high cost of Sacramento’s life, a heavy regulatory environment and inactive conditions as key deterrence. He rejected the idea that international trade or prices were the main reasons for the closure.
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A layoff can have a significant impact in your financial situation, not to mention your emotional well-being. The good news is that you can help navigate the fallout with a clear game plan.
Know your advantages and compensation: Insist on everything that is in writing and review all aspects of your exit package, including your starting indemnity, the health coverage sponsored by the company and the overlapping services.
