CALGARY – Haworth Inc. is consolidating its Calgary manufacturing operations to west Michigan over the next two years, resulting in the elimination of about 600 jobs here.
Haworth, a global leader in the design and manufacture of office furniture and organic workspaces, including raised access floors, movable walls, systems furniture, seating, storage and wood casegoods, announced today that the consolidation is taking place “due to excess capacity as a result of the global economic environment and to better coordinate integrated product strategies.”
“This process of moving the manufacturing of walls and wood furniture to existing facilities will be staged over the coming months and should be complete during 2010,” said the company in a statement.
During the coming months and throughout 2010, Haworth plans to hire up to 500 members in west Michigan. Over five years, this consolidation, together with organic growth, is expected to create up to 649 jobs in west Michigan with approximately 600 job eliminations in Calgary, it said. This morning, Haworth is expecting approval on a 13-year, $22.4 million Michigan tax incentive package.
After this consolidation, Haworth will continue to maintain an office and showroom in Calgary and employ more than 100 people. In Canada, Haworth will employ over 600 people and have almost 700,000 square feet of real estate, including showrooms in Calgary and Toronto and manufacturing operations in Quebec.
“The spirit and effort from Haworth Calgary members has been exemplary,” said Franco Bianchi, Haworth President & CEO in a statement. “We regret all of the actions we have taken worldwide – no location has been spared of pain during this global economic crisis.”
Haworth is family-owned and privately held and headquartered in Holland, Michigan. It serves markets in more than 120 countries through a global network of 600 dealers. The company had net sales of US$1.65 billion in 2008.
mtoneguzzi@theherald.canwest.com
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