Riverside Furniture confirms news of layoffs (updated)

Fort SmithNews on the Wire

by The City Wire staff ([email protected]) November 13, 2008 4:04 pm 138 views 

The Associated Press reported earlier today that Fort Smith-based Riverside Furniture will lay off 250 employees in Fort Smith and Russellville and will combine two of its operations in Fort Smith into one plant.

Riverside Furniture quickly responded to a request by The City Wire for more information on the news reports of layoffs. This from Ostrander’s office:

“Riverside Furniture Corporation will lay off approximately 250 employees in response to the sharp decline in furniture sales as a result of the global financial crises of the last few weeks.

“(The home furnishings industry) is grappling with an unbelievably swift down turn in business as consumers react to the financial crises by deferring the purchase of home furnishings and other durable goods. Our company is not immune to these market forces and we must react and adjust our operations accordingly.
    
“We certainly recognize the impact these actions have on our employees and their families and regret that we are forced to make these difficult decisions. But until more normal market conditions return we must operate our business as efficiently as we can.”

The 250 layoffs are scheduled to take place by Jan. 12, following consolidation of operations in Fort Smith.

Riverside, founded in 1946, at one time employed about 1,500, in the design, manufacturing and marketing of many lines of furniture.


Other job cuts

The Riverside news comes on the heels of layoffs at Whirlpool Corp. and Rheem plants in Fort Smith, and at other Fort Smith businesses. Whirlpool has cut its Fort Smith workforce from about 4,500 to around 1,500 in the past three years. The employment count at Rheem has dropped from about 1,500 to about 800.

The Times Record, a Fort Smith newspaper owned by Las Vegas-based Stephens Media, has cut between 25-30 jobs and/or positions in the past six months.

Also, multiple sources tell The City Wire that Fort Smith-based Arkansas Best Corp. has laid off about 25 at its corporate headquarters.