Kosa jobs

KoSa to Cut 50 Jobs
3% of work force to be eliminated at local plant

BY SARA PITZER
SALISBURY POST

KoSa announced the elimination of 50 jobs today at its Salisbury plant, formerly owned by Hoechst. Tom Halley, human resources manager for the Salisbury site, said the company is cutting a combination of staff and hourly positions, representing about 3 percent of the plant’s total work force. The company employs about 1,500 people.

Halley said the cuts are spread through various departments in the plant. ‘‘We looked at the needs of our plant and operations and based decisions on that.’’

In a written statement the company said, ‘‘The restructuring is part of an ongoing initiative to align plant operations with current market conditions, reduce costs and improve efficiency.’’

‘‘A lot of our decisions were based on operational needs and forecasts,’’ Halley said.

Halley said the age of equipment in the KoSa plant is not an issue.

One problem Halley identified is a downturn in the market resulting from the Asian economic crisis, which has continued longer than forecast. Halley said the problem is not only that Asia now represents less of a market for American goods but also that with their reduced buying capacity at home, Asian countries are selling more of their own products in the United States at low cost.

This competition is not limited to textile products, Halley said.

Dave Lamp, KoSa’s U.S. operations director, said in a written statement, ‘‘Our goal is to achieve long-term financial success while taking advantage of growth opportunities worldwide. To reach this goal in the current global marketplace we must enhance or competitiveness, improve performance results and strengthen existing customer partnerships.’’

‘‘We are always looking at ways to reduce cost,’’ Halley said. ‘‘We really needed to do this to get our efficiencies in line.’’

The KoSa Salisbury plant produces high-tenacity filament yarn for tire cord, hoses and belts, automotive restraint systems and other technical applications. It also makes staple polyester fibers for apparel, home fashions and other textile end uses.

KoSa manufactures commodity and specialty polyester products as part of five global businesses: Intermediates and Polymer, Packaging Resins Technical Filament, Textile Fibers and Tire Cord.

The company has global headquarters in Houston, Texas and U.S. regional headquarters in Charlotte. The company employs more than 10,000 worldwide.

It bought Hoechst’s interests in Rowan in April 1998.