CULLMAN – The Lufkin Industries plant in Cullman will close its doors on June 17 and all 30 people will lose their jobs. The plant is located at 2401 Seventh Avenue SW in Industrial Park 2.
According to Dale Greer, assistant director of the Cullman Economic Development Agency, GE Oil & Gas, the owner of Lufkin Industries, notified the Lufkin employees at 10 a.m. this morning. They plan to sell the building.
"These are incredibly challenging times in the oil and gas industry. We constantly review our operations in order to remain competitive and continue to meet the needs of our customers. It’s becoming clear that this will be a 'lower for longer' environment," read a statement from GE Oil & Gas External Affairs Leader Lindsey Benton.
Lufkin came to Cullman in 2002 and was purchased by GE in 2013.
GE said the closure is a part of their intent to consolidate manufacturing operations in Cullman and Lufkin, Texas.
"We anticipate this restructuring will result in workforce reductions. We know how hard this is for the Lufkin community, so these aren’t decisions we take lightly," said Benton
Citing a need to "make the best decisions for the long-term health of the business," GE stated that they are committed to providing resources to employees to help them transition.
"People losing their jobs is always disturbing news and we sympathize with those workers and their families who are being laid off by GE," said Greer. "Cullman is a growing community with a strong industrial base and hopefully there will be opportunities for those displaced workers to find employment with other companies here."
Today's are the latest in a series of job cuts for Lufkin by its parent company. In 2015, GE laid off 330 when a Lufkin manufacturing facility closed and another 176 when the Lufkin foundry division was shut down.
In March, 30 welding jobs were eliminated in Texas.