DuPont spin-off Chemours announced it will reduce its global workforce by 400 positions, or 5 percent of its total headcount of employees and contractors.Chemours is based in Wilmington.
The decision will affect about 50 persons in Delaware or about 5 percent of its workforce in the state.
The action is part of ongoing efforts to streamline and simplify the structure of the organization worldwide and to reduce costs. Earlier this fall, the company closed its Edgemoor site, a move that eliminated a couple of hundred jobs.
The company will take a charge of approximately $45 million in the fourth quarter of 2015.
The headcount reduction, expected to be completed during 2016, will affect business lines and functions and is estimated to save the company approximately $50 million annually.
The company also completed the strategic review of its Reactive Metals Solutions (RMS) business and decided to stop production at its Niagara Falls, NY site by the end of December 2016.
The Niagara Falls plant has about 200 employees and contractors who will be impacted by this action.
Chemours also announced its continued commitment to the company’s Belle, W.Va. manufacturing location, which is the site of its methylamines business.
The site will remain part of its Chemical Solutions portfolio; the company expects to take additional actions to improve its performance and financial contribution.
“We continue to make significant progress executing against our five-point transformation plan by streamlining our portfolio and our organizational structure. The actions announced today will allow us to focus our resources on our core business segments, operate more efficiently, and strengthen our financial position,” commented Mark Vergnano, Chemours CEO. “I want to express my sincere thanks to all the employees who are affected by today’s announcement for their contributions to Chemours.”
Chemours, the former DuPont Performance Chemical business was spun off in July as a publicly traded company. It’s stock has slid sharply since the spin-off.
