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March 8, 2006Plant closure triggers shockwavesGeorgia-Pacific pullout likely to affect others
Jim Crawfis at Scientific Brake and Equipment said because of the Georgia-Pacific plant closure, the business probably will have fewer repair jobs on logging trucks like this one. A local company that supplied timber to Georgia-Pacific's particle board factory in Gaylord anticipates layoffs, as much of its product went there. "We'll probably have some layoffs, but we haven't just yet," said Jim Payne, owner of Timberline Logging in Gaylord. Other companies are also feeling the loss of Georgia-Pacific's place in the local market. John Bird, manager of Scientific Brake and Equipment in Gaylord, said he expects to see far fewer repair jobs from truckers on deliveries to the factory, just a few blocks down Dickerson Road. "It's not just going to affect the 210 factory workers. It's going to affect loggers, truck drivers, people who work on the trucks and right on down to the poor guy sharpening the blades on the chain saws," Bird said. Scientific Brake officials, though, don't expect they'll be forced into layoffs as a result of what they believe will be a decline in business, Bird said. Bob Kasprzak said he's been taking phone calls from business leaders throughout Gaylord, many with worries about their own shops and economic fallout in the community. He's the executive director of the local chamber of commerce, which he said on Tuesday sent out a survey to area businesses to learn how much financial havoc could be unleashed by the plant closure. "We're trying to get a handle on it. We know there's another tier of people who will be affected," Kasprzak said. "We've had layoffs in the past, but we've never had a major employer just close up and leave." State and local lawmakers tried unsuccessfully to convince Georgia-Pacific officials to keep the plant open, offering tax breaks and other incentives. "But the jobs are gone and they won't be coming back," said state Rep. Kevin Elsenheimer. The plant has been a mainstay in Gaylord for four decades and was bought by Georgia-Pacific in 1987. A limited number of employees will remain to transfer product and prepare the facility for final closure in April. There are not yet any offers to purchase the factory and the 750 acres it sits on in Otsego County's Bagley Township. The reuse of the site should be marketed for another industrial purpose, said Joe Duff, Gaylord city manager. See related story:
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