Am I Next? Layoffs at Leggett & Platt

Carthage, Missouri-based Leggett & Platt, a diversified manufacturer of bed-making machinery and other products has decided to restructure its under-performing bed manufacturing operation in Linwood, North Carolina. Approximately 172 employees, primarily production workers, will be laid off. Affected employees include assemblers, machine operators, welders and painters, along with 23 clerical, administrative and management positions.

According to Karl Glassman, President and CEO, “The Fashion Bed and Home Furniture businesses have under-performed expectations in recent quarters, primarily from weaker demand and higher raw material costs. An in-depth analysis of these businesses was conducted, and we are exiting low margin business, reducing operating costs and eliminating excess capacity. These actions should enable improved operating performance in these businesses, starting in 2019.

This is a relatively minor adjustment for a S&P 500 company “comprised of 14 business units in four segments, with approximately 22,500 employees, and 120 production facilities located in 18 countries around the world.

Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere ... are you now wondering, Am I Next?