Programs offered for those affected by Noranda layoffs

Noranda Aluminum Holding Corporation, one of the largest employers in southern Missouri, is shutting its doors, leaving hundreds out of a job, wondering what the future might hold.

On Jan. 8, Noranda announced that electrical circuit failure was experienced at two of the three smelting pot lines at its plant in New Madrid, Missouri, just the prior day. Fortunately, no injuries were reported. However, Noranda announced just five days later on Jan. 13 that the company would have forthcoming layoffs.

With the closing of such a significant source of income for the region, Christy Mershon, assistant director of extended and continuing education at Southeast, said new businesses need to be attracted, and with this type of discussion, education is always a part of the equation.

"With something so big leaving, students are being affected as well," Mershon said. "The students' parents have lost their main source of income and that affects students with the FAFSA. This has also affected the university's recruitment. Students who may have planned on coming to Southeast, their families' incomes have been drastically reduced."

Mershon also said these layoffs weren't completed unexpected. With floods in recent years making it difficult for the company to have its primary materials shipped in, the shutdown of the smelting lines and overall shutdown of the plant expedited the process.

"I don't know if the layoffs were shocking," Mershon said. "This was coming, but most folks thought they might have five to 10 years to prepare. Historically, you can see this slow sort of decline of Noranda, and you can see it with the disputes between them and Ameren."

The overall region is being affected through tax dollars that are now absent because of the shutdown and layoffs. Some schools in the area are losing revenue from tax dollars that are no longer available.

"Schools are taking a look at what they might have to cut," Mershon said. "Many schools are discussing cutting staffing because of the tax dollars. They are looking at what extra programs like sports or music they might have to cut."

If these extracurricular activities are cut, Mershon said the future recruitment of the university could be greatly affected as many programs at Southeast look at the students who participate.

With the layoffs at Noranda still underway, and many who were already laid off still looking for the best course of action, many organizations through the region are in discussions about what can be offered.

"Our state representatives and congressmen are in the discussions," Mershon said. "Obviously our politicians understand that this is a larger issue, so everyone is trying to brainstorm and put together a plan of action, and to avoid duplication of services so that we all figure out where we fit into that."

Dr. Carlos Vargas, president at Southeast Missouri State University, has been in contact with schools throughout the region to make sure services like further education and classes are offered to those who lost their positions.

"He's worked closely with the president of Three Rivers [Community College]," Diane Sides, associate to the president and assistant secretary to the Board of Regents, said. "He spoke with a lot of folks from regional campuses as well. Representative [Jason] Smith had a meeting and called together all of the folks that are doing everything that they possibly can to help these folks, and the president has been very involved with all of that."

Sides added that this type of economic effect is not something that is talked about once, and certain steps are followed.

"This is long term," Sides said. "Any time you have a company the size of Noranda, where you're taking this kind of loss, it affects people for a long time to come. It will affect communities and the children of the folks who are losing their jobs. It's not something where you can have a meeting and just stop, it will be an ongoing process."

According to Lenell Hahn, director of admissions at Southeast, so far the Office of Admissions has received interest from several workers who have been displaced from the Noranda layoffs, but she says that through the traditional application process, they won't be able to tell who might be a part of the group.

Hahn also said as time goes on, she expects more will seek assistance.

"We anticipate that we will see a surge in people reaching out," Hahn said. "There are options and opportunities here at the university, and what we're going to do as the admissions team is make sure that we're prepared for their variety of questions that they may have that are going to be unique from other students."

To make sure the admissions department can answer the questions these individuals might have, Hahn said her department has been in close contact with Student Financial Services to make sure they are collaborating to ensure school can be paid for.

Hahn mentioned that one way those laid off can seek assistance is through the Trade Readjustment Allowance, and Hahn is ensuring her department can identify those who might be eligible to receive the allowance so they can be directed to their local workforce development office.

The Trade Readjustment Allowance is offered through the United States Department of Labor for those who have been afflicted by foreign imports. When someone qualifies for TRA benefits, it is after unemployment compensation has been drained. Some of the benefits obtained through the TRA include paid training, financial assistance while searching for a position in another area or relocation so that finding a new job can be easier.