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Saturday, November 21, 2009   59º F

Updated 09/24/2008 07:21 PM

Hanesbrands to shut down facilities

By: News 14 Carolina Web Staff & Associated Press

Hanes has about 50,000 employees in 25 countries.
WINSTON-SALEM -- Hanesbrands Inc. said Wednesday it will close nine plants across five countries and cut about 12 percent of its work force as it restructures its operations in order to cut costs.

The moves will eliminate the jobs of about 8,100 workers in the U.S. and Central America, while the company plans to add 2,000 jobs in Asia. Hanes has about 50,000 employees in 25 countries.

As part of the current restructuring, the company plans to close seven plants this year, including two yarn plants in Eden and Gastonia, a knit-fabric textile plant in Forest City, and an inventory storage warehouse in Rockingham.

"Losing your job is probably the closest thing to, you know, losing a member of your family," said Eden mayor John Grogan.

Grogan says the layoffs will be especially tough on older workers.

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"What do you do when you're 55 years old?” he asked. “Retrain to do what?"

It’s not much easier for the younger workers either. Michael Gozalkowski, 23, worked at the Gastonia facility for almost two years. He says he's not just concerned for himself, but for his family.

"I've got a newborn baby; she just had open-heart surgery when she was a week old and now I'm stuck trying to find another job," he said.

But even in this dark hour, Gozalkowski said he’s looking for the silver lining.

"I'll probably go back to school, you know, and try to better myself," he said.

Grogan says the Hanebrands facilities would seem to be attractive locations for another company to set up shop, but some don't think the city or Rockingham County should offer incentives to attract a replacement.

"You know, they'll take the incentives and still leave,” said Dennis Landreth, of Stokesdale. “I really don't know what the answer is."

Mercy Huffsmith, who lives across the street from the Gastonia plant, says its closing will mean tough times for the area.

"For the community, around here, especially its hard hit,” she said. “Most of these people really are struggling, they are below poverty level around here. For them to lose any job at all really makes the community suffer."

Some affected residents say, in the long run, Hanesbrands and other companies that pull up stakes and move offshore will have a huge price to pay.

"I don't see how in the world they think they can send jobs elsewhere, take jobs from us and then expect us to pay for the product when we don't have jobs," Ralph Perkins, of Eden, said.

Donny Hicks, of the Gaston County Economic Development Center says while the layoffs are a blow, the economy is still healthy and county officials are working hard to try to bring new jobs to the area.

When the latest round of plant closings is complete, the company will not have any large-knit fabric textile plants in the United States, a trend that’s become all too real in parts of North Carolina.

"We've been down this road and we will be back," Grogan said.

For more information:

Read the press release from Hanesbrands on the situation.

The Associated Press contributed to this report.