La-Z-Boy shuts down temporarily due to COVID-19By FROM STAFF REPORTS,
La-Z-Boy Incorporated announced in a press release Sunday afternoon that it will have a temporary shutdown of all U.S. manufacturing facilities and regional distribution centers effective immediately.
This includes the manufacturing and shipping operations in Newton. The company said they will re-evaluate the situation April 13.
The release, which was posted at 5 p.m. Sunday on globalnewswire.com, stated that the company is taking this action to slow the spread of the novel coronavirus “to ensure the well-being of its employees and their families, its customers and the communities where it operates.”
According to the press release, this shutdown will result in the furlough of approximately 6,800 employees, or approximately 70 percent of its global workforce. A salary reduction of 50 percent for senior management and 25 percent for salaried employees will be in effect until further notice.
Kurt L. Darrow, Chairman, President and Chief Executive Officer, of La-Z-Boy Incorporated, said keeping employees, customers and the communities safe and healthy is of “paramount” importance.
“Throughout this period, La-Z-Boy has followed all government regulations and recommendations and implemented best-practice health and safety protocols,” Darrow said. “At this time, the company is not aware of any confirmed coronavirus cases across the enterprise and will continue our efforts to keep facilities clean and safe. However, our leadership team has determined that more significant measures are necessary to protect the health and safety of our employees, and to assist in the national effort to combat the spread of COVID-19."
Check Wednesday's edition of The Newton County Appeal for more on this developing story.