NC concrete factory to close after 29 years. Owners blame office construction slowdown
A concrete production facility in Oxford will close its doors after almost 30 years, affecting 77 employees in an initial round of layoffs — with more cuts planned before the plant shutters this summer.
Gate Precast, the Florida-based operator of the factory, cited declining demand for office space and multifamily housing construction among the causes precipitating its decision.
“The closure comes as a result of many factors outside of our control including a slowdown in new office construction as a result of work from home options, high interest rates impeding construction loans, and the slowdown in multifamily housing construction,” company president Dean Gwin told The News & Observer in an email.
Gate Precast opened its Oxford facility in June 1995. Since then, the factory 30 miles northeast of Durham has manufactured millions of square feet of architectural precast concrete.
On Dec. 11, Gate Precast sent a WARN Notice to the North Carolina Department of Commerce, notifying the agency it would conduct mass layoffs in Oxford on Feb. 9. The federal government mandates companies issue WARN letters when they shutter a plant with at least 50 workers.
The letter listed 77 affected positions — including builders, technicians, sandblasters, finishers, and welders.
“Further layoffs of less than 50 employees each currently are planned to occur thereafter, with the entire facility closing permanently on or about July 1, 2024,” Gate Precast told the commerce department.
The company did not share the total number of jobs the closure will affect in its WARN letter, nor would it share this total with the N&O. As of 2015, Gate Precast employed 148 workers at the facility.
Given the current demand for manufacturing labor, employees at the Oxford plant won’t struggle to find work, said Granville County commissioners Chair Tim Karan, who also received Gate Precast’s letter last week.
“I’d be very surprised if they don’t have jobs lined up the day they leave their present organization,” Karan said. “The skill set that they possess, they’ll be highly sought after.”
Karan said workers can seek out the state’s job service office, NC Works, for new work and job training opportunities.
In his statement, Gwin said Gate Precast will offer “relocation opportunities within the GATE organization” and help employees find alternative positions in the area.
