LSC job loss could financially impact Kendallville, surrounding community

On Sept. 1, LSC Communications, a print and digital communications company, notified the Indiana Department of Workforce Development that they would lay off all of the roughly 307 employees at one of their two facilities in Kendallville.

Posted: Sep 21, 2020 8:51 PM
Updated: Sep 22, 2020 9:35 AM

KENDALLVILLE, Ind. (WFFT) - On Sept. 1, LSC Communications, a print and digital communications company, notified the Indiana Department of Workforce Development that they would lay off all of the roughly 307 employees at one of their two facilities in Kendallville. 

When Kendallville Mayor Suzanne Handshoe got the news she said she was "Sick to my stomach. It was quite the blow."

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LSC Communications. Photo Courtesy

Handshoe says there was no discussion about trouble at the company, even though they had such a good rrapport with the city. "I didn’t see it coming at all. There was no dialogue at least introducing the fact that things weren’t going well," Handshoe said. "I was very disappointed to receive notification in a letter."

In a WARN letter to the state, LSC Communications say the job loss is due to "continued deterioration of market conditions."

Employees who spoke with FOX 55 off-camera say with education systems converting to digital, there’s less need for paper materials, causing a decline in profits.

As the jobs are phased out, Handshoe says the total payroll lost in the community would be about $28 million, meaning the city loses out on payroll tax money, and if the building, located at 2500 Marion Drive in Kendallville, sits vacant too long, they’ll loss property tax money as well.

Handshoe explained that property tax loss would be at least $85,000 and "Personal property, they’re all lumped together with their machinery, so still significant. Probably in the hundreds of thousands."

Gary Gatman, executive director of the Noble County Economic Development Corporation says he didn’t receive any notice either besides the WARN letter to the state.

Gatman said his initial reaction was just like that of any other time they receive news of businesses closing, "What are we going to do to take care of the workers. I mean, the first priority is taking care of our own and the folks who work at LSC is part of the Noble County family, so it’s all about that."

So now, with little notice, the city and county are scrambling to keep disruptions to a minimum for people and the government. Handshoe said, "Our goal is to get every single one of those employees placed in a job and, again, to occupy that plant and get those back on the tax rolls."

Handshoe and Gatman explained that they’ve been contacted by multiple employers in Noble County to fill open positions and with the help of LSC, have created two job fairs the effected LSC employees will have the ability to attend.

Handshoe also says her office has been contacted by at least 4 other businesses who have discussed possibly occupying the building once it’s empty. So there is actually some cautious optimism surrounding this situation.

FOX 55 tried to reach LSC Communications for comment, they have not responded to our messages as of the publishing of this story.

Indiana Coronavirus Cases

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Confirmed Cases: 147582

Reported Deaths: 3937
CountyConfirmedDeaths
Marion24410780
Lake12911350
St. Joseph8651154
Elkhart8281130
Allen7756221
Hamilton5872113
Vanderburgh547750
Tippecanoe346414
Monroe316238
Hendricks3116130
Johnson2947127
Porter288948
Clark280857
Delaware277174
Vigo245534
Madison224587
Cass220120
LaPorte208853
Warrick185362
Floyd170865
Kosciusko169221
Howard155366
Bartholomew137557
Dubois133423
Marshall129826
Henry120728
Boone117748
Grant116839
Wayne114923
Hancock112844
Noble110033
Jackson106412
Morgan90840
Dearborn89528
Daviess82732
Gibson8229
Clinton80116
Shelby76929
Lawrence76732
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Harrison72924
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Knox68610
DeKalb67411
Posey6695
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Montgomery55722
Fayette55615
White55615
Jasper5264
Greene50537
Scott50313
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Ripley4138
Sullivan40612
Wells4045
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Spencer3656
Huntington3645
Franklin35925
Jennings35813
Washington3452
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Fulton3232
Pike31512
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Jay2756
Fountain2733
Tipton26123
Parke2152
Newton20511
Vermillion2031
Owen1991
Rush1984
Martin1930
Blackford1843
Crawford1401
Pulaski1401
Brown1283
Ohio1167
Benton1060
Union1010
Switzerland840
Warren721
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Ohio Coronavirus Cases

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Confirmed Cases: 181787

Reported Deaths: 5067
CountyConfirmedDeaths
Franklin30590635
Cuyahoga19212671
Hamilton15890338
Montgomery9883184
Lucas8058370
Butler7856122
Summit6406260
Warren393360
Stark3605178
Mahoning3567283
Marion332149
Pickaway294646
Delaware275927
Lorain262389
Fairfield254156
Licking241065
Wood240181
Clark231654
Clermont225936
Trumbull2174134
Greene210840
Columbiana207887
Allen195873
Miami191056
Lake184757
Medina175542
Portage153067
Mercer143327
Ross130533
Wayne125968
Richland125724
Tuscarawas117822
Athens11452
Erie111453
Darke108850
Madison101314
Hancock97520
Auglaize92716
Lawrence88524
Putnam86127
Shelby85014
Geauga81950
Muskingum8174
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Union7203
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Huron6909
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Henry44217
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Jackson4197
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Crawford4088
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Highland3714
Ashland3705
Brown3583
Knox35215
Perry35011
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Morrow3222
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Pike2780
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Van Wert2153
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