Oklahoma’s Blaine County was rocked with an economic slap this past week when U.S. Gypsum, one of the county’s biggest employers, announced it planned to shut down its mining operation by the end of the year.
In making the announcement, the nationwide firm stated it had “made the difficult business decision to idle its manufacturing facility in Southard.” The move will leave 250 workers unemployed. The Chicago-based company said it was closing the nearly 100-year old plant because of escalating costs and complexity of mining and manufacturing the specialized industrial products made there.
“USG has been one of the largest employers in this area for over a century,” Dobrinski said. “This is devastating news for these employees, their families and our area as a whole.”
Dobrinski said he is working alongside Rep. Carl Newton, R-Cherokee, and Sen. Darcy Jech, R-Kingfisher, both of whom have affected constituents.
“We are working to ensure these employees will have much needed resources such as state unemployment benefits, along with additional workforce training and education to help meet their needs. We are engaging our area CareerTech centers of Chisholm Trail, Northwest, Autry and High Plains to begin coordination and communicating opportunities that can provide new careers right here at home. We are fortunate to have many businesses in diverse industries here in Northwest Oklahoma that are actively expanding their workforce every week. While this news was not expected and certainly disappointing, we will continue doing all we can to ensure other businesses see our area as a valuable place to locate their operations.”
Dobrinski said the Oklahoma Employment Security Commission offers the Oklahoma Works Rapid Response program, which provides on-site employee workshops, job search assistance, career counseling, training opportunities, food assistance resources and more. The commission also can assist with filing for unemployment benefits, including for large groups facing mass layoffs. The Oklahoma Department of Commerce and area chambers of commerce also are being tapped for assistance.
USG, purchased by German-based Knauf Group in 2019, operates a major gypsum mine and processing plant in Southard. The company announced July 16 that it will begin to idle its manufacturing facility and phase out a majority of the industrial products portfolio manufactured at this plant, with plans to close the plant in November.
In a statement, USG said its decision was based in part on the escalating complexity and cost to mine and manufacture the specialized products in the company’s portfolio. The company said it would support impacted employees by offering career transition resources, relocation opportunities for those interested in transferring to another USG facility and severance packages. Dobrinski said while he appreciates these resources being offered, he hopes those affected will be able to remain in the communities where they now live.
“We don’t want to lose any families to other areas of Oklahoma or other states,” Dobrinski said. “We want them to stay right here and thrive in a place that has strong and safe local schools, rural healthcare, friendly neighbors and an excellent way of life.”
U.S. Gypsum has dozens of operations across the U.S. . Four of its operations are in Texas, another in Missouri, and another in Colorado. Others exist in numerous states. From the various sites, the company manufactures a variety of products such as Acoustical Ceiling Tiles, Tile Backerboard, Adhesives and Additives,Plasters,Joint Compound and Tape and many more.
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