As the failing economy continues to girdle the nation, 298 folks will be out of a job come Jan. 31 when the Cintas Corporation closes down two of its manufacturing operations.
Cintas announced Tuesday it will close factories in Bath and Perry counties, leaving employees only nine weeks until they are unemployed.
The company said the closures are part of an effort to consolidate its apparel business.
The plant in Perry County makes uniform work shirts while the plant in Owingsville makes work pants.
Cintas says it will help the employees who are losing their jobs by providing severance pay and health-care coverage for a time.
Cintas is headquartered in Cincinnati and makes products like uniforms and restroom supplies for nearly 800,000 businesses. The production from both plants will be transferred to other Cintas facilities, said Scott Farmer, CEO of the company.
“Unfortunately, the economic climate and reduction in demand for products manufactured at these plants left us with limited options,” Farmer said in a recent press release. “Our top priority is to assist our employee-partners and their families throughout this transition.”
Cintas offers services to businesses of all types throughout North America.
The company operates over 400 facilities in the U.S. and Canada, as well as 11 manufacturing plants and eight distribution centers that employ more than 34,000 people.
According to the Cintas Web site Thursday, the company has grown for 39 consecutive years, with fiscal 2008 sales of $3.9 billion, an increase of percent from 2007.
The company’s net income for the year was $335 million, and earnings per diluted share increased 3 percent from $2.09 last year to $2.15 this year.
Richard T. Farmer, Chairman of the Board, founded Cintas. Scott Farmer was appointed chief executive officer in 2003 and Bob Kohlhepp serves as Vice Chairman.
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Cintas closing Bath Co. plant
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