CHILLICOTHE, Ohio — The Pixelle paper mill in Chillicothe announced it will close down as part of plans to strengthen operations at its other locations.
“This was an extremely difficult decision. We value our Chillicothe team and the contributions they have made to Pixelle,” said Ross Bushnell, Pixelle’s president and CEO, in a statement. “While this step is necessary for our long-term strategic goals, our priority at the moment is to support our employees with care and transparency throughout this transition. We are committed to providing the resources and assistance they need while also ensuring continuity for our customers until the closure is complete.”
Pixelle said the plant will close down in phases with no date as to when it will shut its doors for good. The company also said it's working with employees to help with the transition, by helping them with job placement assistance and giving them access to workforce resources. Additionally, Pixelle said it's engaging with represented employees' union leadership on the impact it will have on them under the collective bargaining agreement.
"Eight hundred of our neighbors, friends, and family members are losing their jobs. My focus and heart are with them and their families right now," said Chillicothe Mayor Luke Feeney. "We are working with state officials, regional economic partners, and workforce development to respond immediately. Moving forward we will work together as a city, state and region to find opportunity coming out of this."
Pixelle said the closure will help focus on its Spring Grove and Fremont operations and to maintain its competitive position in the specialty paper market.
"We are confident that this decision, while difficult, allows us to better align our resources and focus on future growth opportunities that pair with our operational goals and competitive solutions," said Bushnell. "Our focus remains on delivering high-quality specialty paper products while ensuring a responsible transition for our workforce and operations in Chillicothe."
Feeney said the city will do everything it can to help displaced workers and improve opportunities.
"The workers who clocked into the mill day after day are the backbone of this city and are a part of our heritage and history. The City will continue to make job growth and opportunity a top priority and we will do everything we can to support displaced workers and attract new opportunities that build on the strength and skill of our local workforce," Feeney said.
In a press release, Ohio Gov. Mike DeWine said he was disappointed in Pixelle's decision. He said the more than 100-year-old mill has provided jobs for generations.
“We are going to ensure that the workers who are impacted are aware of all the benefits, resources, and opportunities available to them in Ohio – including opportunities for new employment,” he said.
The Ohio Department of Job and Family Services (ODJFS) has been directed to immediately start working with the 826 people who are losing their jobs. The release states that the department's Rapid Response team is coordinating with Pixelle's management to establish sessions for these employees to receive more information.
“At the direction of Governor DeWine, we are getting to work right away – helping employees understand how they can apply for employment once they are separated, as well as the variety of reemployment services options available to them,” ODJFS Director Matt Damschroder said in the release. “Our goal is to ensure employees have the benefits they need and are able to find new employment as quickly as possible.”
Beyond the affected employees, the governor is also directing officials and regional partners to evaluate the plant in Ross County to "help Pixelle with marketing the 400-acre site to potential buyers."
More information about the closure and the resources for employees can be found here.