Kimberly-Clark workers get 60-day layoff warnings

  • Thu Oct 27th, 2011 10:30am

By Mike Benbow Herald Writer

Most of the 750 employees at the Kimberly-Clark Corp. plants in Everett have received a warning that they could be laid off in the next 60 days, but the notice doesn’t affect attempts to sell the business.

“We’re continuing the process to try to sell the plant, but the due diligence is still ongoing,” K-C spokesman Bob Brand said Monday.

The company has entered into exclusive talks with Atlas Holdings LLC to sell its pulp and paper mills, which is still gathering information.

“There’s no guarantee there,” Brand said. “We have to continue to plan for closing the plant.”

The company is required by law to warn employees of impending layoffs, so it did so on Friday. Brand said the majority of the company’s employees were notified.

He said there was no more to report on the potential sale.

Earlier, he had called Atlas a “viable buyer” that was interested in continuing to operate the mill.

Atlas specializes in turning around distressed businesses.

It owns an integrated pulp and paper mill in Glen Falls, N.Y., that makes paper for printing.

Kimberly-Clark announced in January that it was closing down the last of its pulp operations, including the Everett plant.

Later in the year, the company ended its partnership with the Snohomish County PUD that used hog fuel to create steam to help operate the plant and generate electricity for the utility.

The PUD commission approved the termination agreement at the end of last month.