Wabash Steel Limited, a company that two years ago was named Industry of the Year by the Knox County Chamber of Commerce, announced that it lays off 7 workers.

Mr Scott Erick, a human resources director for the company at 2007 Oliphant Drive, said that "Current credit crisis and worldwide recession have resulted in a reduction in the demand for the products of Wabash Steel at an accelerating rate. In order to match our production with the existing market conditions, the company has reorganized its workforce, which resulted in seven employees being laid off from the organization."

Mr Gary Gentry executive director of the Knox County Development Corporation said that he was unaware of the layoffs when asked about them Monday afternoon. He also declined to comment on the situation specifically. He added that "I don’t have any thoughts until I talk to someone with Wabash Steel. I really have no response, because this is the first I’ve heard of it. When I last talked to them, they were doing quite well, but their work is sort of project-oriented. You build a bridge, and it’s done."

Mr Marc McNeec president & CEO of Knox County Chamber of Commerce also were surprised to hear of the cuts. He, as did many in the community, expected Wabash Steel to do well with the projects that would likely come from President Obama’s stimulus package.

He said that "We’ve seen some delay in stimulus money coming into road projects and bridge projects, so obviously that’s going to have a slight, if not profound, effect on businesses such as Wabash Steel, ones that makes their livings off road construction and bridge construction projects and endeavors."

(Sourced from www.suncommercial.com)