Stupp Corporation expects to lay off 45 workers at its Baton rouge pipe manufacturing plant in mid-November.
The company filed a Worker Adjustment and Retraining Notification letter with the Louisiana Workforce Commission recently noting layoffs are to begin Nov. 6 at the pipe facility along Ronaldson Road.
Stupp blamed the decline in the oil market for the reason it will have excess capacity as its pipe manufacturing plant.
The company "carefully analyzed the situation and its available options" and described the layoffs as a substantial reduction of operations, according to the letter.
Most of the employees are part of the local United Steelworkers union but some are salaried workers. Layoffs are expected to continue for six months.
In October, Stupp told the state it decided to lay off 300 workers at the pipe manufacturing plant alongside 75 workers at a sister business pipe coating operation in Baton Rouge.
In August 2019, Stupp was granted a property tax exemption from East Baton Rouge Parish's Metro Council, School Board and Sheriff Sid Gautreaux, valued at $2.5 million over 10 years. The company said it would modernize its Baton Rouge manufacturing facility, a $22 million investment, in order to meet an uptick in demand for steel pipe. The move was expected to lead to 128 new jobs and keep 338 existing workers with Stupp.
Because the company is so dependent on the oil industry, staffing at Stupp has ebbed and flowed based on oil prices. In 2012, when oil was trading at $100 a barrel, the company had 600 employees. But by 2016, when oil was trading around $30 a barrel, Stupp laid off 114 workers.
The price of oil is currently about $70 per barrel compared to $40 per barrel a year ago.
Stupp has been in operation since 1952. It moved to its current site at Ronaldson Road in north Baton Rouge in 1967. Stupp Coatings, which was founded in 1994, has operations at 12710 Leisure Road and at the Port of Greater Baton Rouge.
Stupp Corp. said Thursday it is expanding its pipe manufacturing facilities in north Baton Rouge and hiring 128 people, a project driven by in…
Stupp Corp. plans to lay off 300 people at its Baton Rouge pipe fabrication facility by late October, and a sister business will lay off anoth…