U.S. Steel warns employees that more layoffs may be coming down the road. The locations in question are the steel processing plant in Birmingham as well as a plant in Lone Star, Texas. The employees impacted include both skilled and non-skilled workers at the plants.
U.S. Steel spokeswomen Courtney Boon said that employees that will be effected by the layoffs will be notified by March 29. According to the Associated Press, U.S. Steel has said that they are aiming to reduce operating levels at both plants, and have already warned more 1,900 employees.
The temporary downsizing is coming as a result of a drop in demand that reflects the state of the energy market. Another U.S. Steel spokesperson, John Armstrong, explains that the layoffs are a response to “"a downturn in business conditions and overall economy, specifically a drop in our orders of tubular products that we produce for companies in the energy industry. The layoffs will be phased in by shutting down different lines."