OSWEGO, N.Y. — Aluminum maker Novelis is partially closing its enormous factory in Oswego County after its biggest customers — automakers — agreed to shut down because of the coronavirus pandemic.
Novelis will partially close its plant in Scriba, as well as its facility in Kingston, Ontario, on Friday, but will continue to pay idled employees, spokesperson Leila Giancone said.
“This is a temporary measure and we will continually evaluate the situation as the needs of our people, customers and communities evolve in response to COVID-19 over the next few weeks,” she said in a statement late Thursday night.
The move comes a day after Ford, General Motors and Fiat Chrysler — Detroit’s “Big three” — agreed to shut their factories until at least the end of March to slow the spread of the novel coronavirus and COVID-19, the sometimes-deadly respiratory disease it causes.
The Novelis facility in Scriba, near Oswego, employs 1,150 people, making it the largest manufacturer in Oswego County. It processes rolled aluminum for use as vehicle body panels. Its largest customer, Ford, uses the aluminum in its popular F-Series pickup trucks.
“Novelis commends our customers for taking measures out of concern for employee health and safety,” Giancone said.
The company did not say how many workers in the Scriba plant will be idled by the partial shutdown. However, Giancone said the plant will adhere to Gov. Andrew Cuomo’s order mandating that no more than 25% of a business’s employees work on-site. That indicates that about 860 workers will be idled or working from home, leaving a little less than 300 at the plant.
While the two plants temporarily stop supplying aluminum for the automotive market, they will continue to produce aluminum for the beverage can and specialty markets, according to Giancone.
Novelis said it has taken steps in the Scriba plant to guard against the coronavirus, including implementing social distancing practices, having some employees work from home, monitoring workers’ temperatures and curtailing travel.
The company has invested more than $400 million in the Scriba facility in recent years to expand its production of aluminum for automakers, who have increasingly turned to the metal to save weight in their vehicles. In addition to Ford, the plant provides aluminum to GM, Fiat Chrysler, Honda, BMW and Mercedes.
Novelis’ first U.S. operation, the 1.7-million-square-foot facility produces more than a billion pounds of aluminum sheet each year. Its annual payroll of more than $100 million has a major economic impact on the area.
The coronavirus, a global pandemic for which there is no vaccine, is highly contagious. The respiratory disease it causes is not serious for most people, but it can be fatal to older adults and people with serious underlying illnesses. It is spread mainly between people in close contact through respiratory droplets produced when an infected person coughs or sneezes.
Its spread has forced many businesses around New York to close or limit their operations, putting thousands of people out of work.
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Rick Moriarty covers business news and consumer issues. Got a tip, comment or story idea? Contact him anytime: Email | Twitter | Facebook | 315-470-3148
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