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Carrier shutdown to ripple throughout region

MORRISON (AP) — Carrier Corp.’s decision to close its Warren County factory in 2005 and eliminate 1,300 jobs will send an economic ripple throughout the region, local officials say.

Don Rigsby, industrial development director for Warren County, said about 55 percent of the plant’s workers live in Warren County, but about 37 percent live in Coffee, Grundy, DeKalb and Franklin counties.

Another 8 percent live in adjacent counties, including Bledsoe, Marion and Sequatchie.

State Sen. Jerry Cooper, D-Morrison, said Carrier’s decision to close the plant also will hit supporting businesses.

“It’s going to be devastating,” Cooper said. “Those 1,300 jobs being lost are going to turn into 2,000.”

Edd Martin, co-owner of Martin Crating Co., said 99 percent of his orders come from Carrier.

“We’re history,” he said. “The ripple effect is going to be enormous. It will take 20 years before this county is the same.”

Carrier plans to move production to company factories in Tyler, Texas; Charlotte, N.C. and Monterrey, Mexico.

Todd Bluedorn, president of Carrier North America, said the decision to close the Warren County plant is part of the company’s ongoing effort to cut costs and remain competitive.

“These decisions are very difficult, and we understand the effect on our employees, their families and their communities,” Bluedorn said in a statement earlier this month. “But this action is necessary for the long-term health of Carrier.”

Carrier employees face an uncertain future.

“I’ve worked there 33 years, and it was my first job,” said Bobby Gallagher, a 53-year-old Grundy County resident. “It’s all I’ve ever known. What really has me and my wife scared is losing our health insurance.”

James Neeley, the state’s Labor and Workforce Development commissioner, said Gov. Phil Bredesen’s plan to reduce the Tenn-Care health program’s cost by $2.5 billion will allow the state to develop programs designed to offset job losses in the state.

“When we free up billions from his proposal, that money can be used for education, jobs and economic development,” Neeley said in a statement.

Franklin County Mayor Monty Adams said efforts have begun to attract new industry to the region.

“We’re going to double our efforts in recruiting industries in our area,” he said. “If we have a healthy economy where new jobs are being created, we can help these guys get new jobs.”

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