La-Z-Boy announced last week it would lay off approximately 300 workers and permanently shutter much of its manufacturing operations in Newton, and county officials say that decision will be felt across the entire county.
Kenneth Harris, President of the Newton County Board of Supervisors, said the La-Z-Boy closure was a big blow to the county.
“It’s going to hurt, especially the people that don’t have a job anymore,” he said. “It’s going to affect every aspect of county government.”
Large industries not only bring plenty of jobs, Harris said. Counties and cities also benefit from taxes on the manufacturing facilities and goods that are sold. La-Z-boy was both a good employer, paying wages higher than those of local jobs with a comparable skill level and a regular customer of the Newton County landfill.
All of those things combine to make La-Z-Boy’s decision a blow to the entire county.
“It’s going to impact it quite a bit,” Harris said.
Right now, Harris said he didn’t think the loss in tax revenue would have too big an impact on the county’s budget preparations, which will beginning shortly for FY20; however, he said any decrease in what the county has to spend will have an effect..
“I really don’t think it’s going to affect our budgets too much except for the entities that expect county funds,” he said.
Public schools and social services like mental health have seen significant declines in state funding over the past several years and need county-level support, Harris said. The impact from La-Z-Boy, no matter how large or small, he said, will be felt.
