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April 19, 2007
Workers at one of Evansville's largest employers are bracing for a round of voluntary layoffs expected to start next week.
DENNY SIMMONS / Courier & Press T.J. Maxx is considering voluntary layoffs of at least 100 hourly workers at the Evansville distribution center at 3301 Maxx Road.
DENNY SIMMONS / Courier & Press T.J. Maxx is considering voluntary layoffs of at least 100 hourly workers at the Evansville distribution center at 3301 Maxx Road.
T.J. Maxx plans to lay off at least 100 hourly workers at the company's Evansville distribution center beginning Monday, a union official and company spokeswoman said Wednesday. Workers who volunteer for the layoff will be out of work early next month, but will retain some health insurance benefits, the union official said. The laid off workers will also be eligible for unemployment benefits.
It was unclear Wednesday exactly how many employees would be affected.
Mike Hoagland, regional business representative for Local 399 of UNITE, the Union of Needletrades, Industrial and Textile Employees, said he was informed Tuesday the company was seeking about 200 workers to take the voluntary layoff.
But a company spokeswoman said Wednesday the number was closer to 100.
The distribution center employs about 1,400 hourly workers on average, Hoagland said.
"If they don't get enough volunteers, they'll start making cuts," Hoagland said. "It looks like there will probably be enough takers."
Hoagland expects the layoff to last three to four weeks. After that time period, the workers will probably be called back.
"A lot of people use those jobs for secondary income," Hoagland said. "They're still going through the process to decide if they are going to take (the layoff)."
T.J. Maxx's parent company, TJX Cos., said such voluntary programs are offered occasionally as the firm deals with changing business conditions and seasonal needs. A company representative would not elaborate.
Hoagland said it appeared T.J. Maxx's Easter sales did not meet the company's expectations, resulting in the staffing changes.
"My understanding is the Easter business was bad because of colder weather," he said. "It wasn't what they expected."
As a whole, however, TJX Cos., which includes T.J. Maxx, Marshall's and several other retail nameplates, posted a 6 percent increase in March sales at stores open at least a year. That number was enough to exceed Wall Street expectations.
The voluntary layoffs are the latest such action at the Evansville distribution center.
In February, the company told hourly workers not to report for one day. Hoagland said at the time there had been several similar work stoppages called during the last several months.
Earlier this month, Whirlpool Corp. canceled a similar voluntary layoff plan for about 25 workers at its Evansville facility.
The planned layoffs were deemed unnecessary after consumer demand for the company's refrigerators picked up after a brief slump.