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Sappi Cuts Workforce

Updated: 05/13/2014 5:51 PM
Created: 05/13/2014 5:37 PM WDIO.com

Sappi North America is cutting five percent of its workforce, but would not say how many people are affected at its Cloquet plant.

President & CEO Mark Gardner sent a statement to employees Tuesday saying about 50 salaried positions and 60 hourly positions were cut across the company's North American operations.  While Garnder said a majority of the cuts will come through attrition and elimination of open positions, about 30 active employees lost their jobs.

"I am personally very aware of the impact this decision has on our affected employees," Gardner said in the statement.  He said the company will provide separation benefits to salaried employees, while discussions will be held with union officials regarding the impact on hourly employees.

Gardner said Sappi's operating income for the first six months of fiscal year 2014 was far lower than expected.  

Sappi's Cloquet mill has about 780 employees, according to the company's website.

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