By Lewis Loflin
Published: December 9, 2012
Update, May 2016: Some workers affected by the Merillat closure have found new opportunities with another company in Smyth County, reflecting the region’s efforts to support its workforce. See Gov. McAuliffe Announces New Jobs in Smyth County Virginia.
Smyth County, Virginia, like neighboring Washington County and Bristol, has experienced shifts in its manufacturing sector over the past two decades. In 2012, Merillat announced the closure of its two plants in Atkins, affecting 280 employees. **Merillat’s closure affected 280 employees, not 300 as initially stated.** The plants, which manufactured cabinet doors and panels, had been operational since 1977 and 1991, respectively. The closure impacted 201 hourly and 16 salaried employees at the cabinet door plant, and 60 hourly and 3 salaried employees at the panel plant. The company cited economic challenges and planned to shift some operations to Mount Jackson, Virginia, and Sayre, Pennsylvania, while also closing a facility in New Jersey affecting 190 workers. [Web ID: 1]
Congressman Morgan Griffith addressed the closure in a news release on November 16, 2012:
I am deeply troubled by today’s announcement that Merillat will be closing its two manufacturing plants in Atkins. These job losses impact the entire community, particularly the dedicated employees and their families. However, I would be remiss if I did not applaud Governor McDonnell’s efforts to bring jobs to the Commonwealth. In the shadow of this news from Smyth County, there is some positive news in another part of the Ninth District. Governor McDonnell today announced an expansion of HanesBrands, adding 50 new jobs in Patrick County. I am glad that we have had one step forward, and I will continue to promote job-creating policies to support our economy.
While the Merillat closure presented challenges, the announcement of new jobs in Patrick County by HanesBrands offered hope for the region. Some of the affected workers from Merillat and other local companies have found opportunities through these transitions, showcasing the community’s resilience and the efforts of local leaders to support economic growth.
November 29, 2012, Ref. WXII 12 News: HanesBrands adjusted its operations at its sock knitting plant in Mount Airy, North Carolina, affecting 60 positions. However, the company opened opportunities for these employees by adding 50 new jobs at its Woolwine facility in Patrick County, Virginia. Interviews for these positions began in December 2012, with laid-off employees given priority for the new roles. About 20 workers from the Mount Airy plant already lived in Patrick County, making the transition more accessible for some. [Web ID: 9]
A HanesBrands spokesman, Matt Hall, clarified the support provided to affected employees in a statement to The Mount Airy News:
Our severance policy calls for severance in cases of full plant closures. In cases of partial layoffs, employees are eligible to be reinstated when openings occur, such as when there are retirements, turnover, or other opportunities. So the employees in this case will be placed on callback lists to fill openings as they arise in Mount Airy, and they will be prioritized for new jobs being created in Woolwine, Virginia.
Update, 2024: HanesBrands has continued to adapt its operations, announcing the repurposing of its Annapolis Distribution Center in Winston-Salem, North Carolina, affecting 159 employees as of April 2024. The company is committed to supporting these workers by offering outplacement services and exploring employment opportunities within its network. [Web ID: 11]
The transitions faced by Merillat and HanesBrands reflect the broader economic changes in Southwest Virginia and North Carolina. Despite these challenges, the rehiring of some workers and the creation of new job opportunities demonstrate the region’s commitment to supporting its workforce and fostering growth. Local leaders and companies continue to work together to ensure a brighter future for the community.
