About 90 employees who will lose their jobs when a Jackson County food distribution center closes in October should receive some government assistance, according to the West Virginia Development Office.
CHARLESTON, W.Va. -- About 90 employees who will lose their jobs when a Jackson County food distribution center closes in October should receive some government assistance, according to the West Virginia Development Office.
Members of the state Workforce Rapid Response team will meet with human resource officials from COI Foodservice Distribution on Sept. 18 to discuss what resources are available to those affected by the shutdown, said Fred Mixer of the Dislocated Workers' Service Unit at the development office.
"When they're laid off, a lot of people think all they can do is file unemployment and hope and pray to find a job within 26 weeks. What we do is put different services in front of them," Mixer said.
Local and state agencies will offer things such as credit counseling, debt management, resume workshops, children's health-care assistance and other job services to displaced employees, Mixer said. Some grant money for training and continuing education may also be available.
Employees learned during an Aug. 22 meeting with company president Daniel Staudt that the center would close. The company is a wholesale distributor for restaurants such as Applebee's and Ryan's restaurants with centers in Tennessee, Georgia and West Virginia.
Executives at the Nashville-based Commissary Operations Inc. food service expect to terminate all employees between Oct. 6 and 20. Some employees may be fired earlier as existing customers find new distributors for their products.
The closure is because of "unforeseen business circumstances" and not conditions within West Virginia, according to a notice filed in the state on Aug. 22 under the Worker Adjustment and Retraining Notification Act.
COI filed Chapter 11 bankruptcy papers in July to reorganize, citing rising fuel costs and the loss of customers as the cause for debts ranging between $50 million and $100 million.
CHARLESTON, W.Va. -- About 90 employees who will lose their jobs when a Jackson County food distribution center closes in October should receive some government assistance, according to the West Virginia Development Office.
Members of the state Workforce Rapid Response team will meet with human resource officials from COI Foodservice Distribution on Sept. 18 to discuss what resources are available to those affected by the shutdown, said Fred Mixer of the Dislocated Workers' Service Unit at the development office.
"When they're laid off, a lot of people think all they can do is file unemployment and hope and pray to find a job within 26 weeks. What we do is put different services in front of them," Mixer said.
Local and state agencies will offer things such as credit counseling, debt management, resume workshops, children's health-care assistance and other job services to displaced employees, Mixer said. Some grant money for training and continuing education may also be available.
Employees learned during an Aug. 22 meeting with company president Daniel Staudt that the center would close. The company is a wholesale distributor for restaurants such as Applebee's and Ryan's restaurants with centers in Tennessee, Georgia and West Virginia.
Executives at the Nashville-based Commissary Operations Inc. food service expect to terminate all employees between Oct. 6 and 20. Some employees may be fired earlier as existing customers find new distributors for their products.
The closure is because of "unforeseen business circumstances" and not conditions within West Virginia, according to a notice filed in the state on Aug. 22 under the Worker Adjustment and Retraining Notification Act.
COI filed Chapter 11 bankruptcy papers in July to reorganize, citing rising fuel costs and the loss of customers as the cause for debts ranging between $50 million and $100 million.
On Aug. 20, COI's second largest customer, Shoney's Inc., gave notice that it was moving its business to a new distributor beginning Oct. 13, which prompted the company to close its West Virginia operations.
"Without Shoney's business, COI cannot continue to operate," said the WARN notice filed by the company lawyers.
"Accordingly, COI has no option but to permanently shut down its operations and terminate the employment of all employees."
Agencies such as the Workforce Investment Board, the Jackson County Development Authority, Consumer Credit Counseling Service and the Children's Health Insurance Program are already onboard to support employees as they try to re-enter the work force.
The Rapid Response team will aid workers for six months after they become unemployed, but other agencies have different timeframes, Mixer said.
The state development office is also looking for potential new businesses to occupy the 42,000-square-foot warehouse facility, located just off the Fairplain exit on Interstate 77.
Reach Kellen Henry at khe...@wvgazette.com or 348-5179.
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