USG, the maker of Sheetrock brand wallboard, joint compound and other building materials, has notified its employees on Friday of a 20-percent reduction in its salaried work force.
Bob Williams, USG’s director of communications, told Home Channel News that the company will seek voluntary buy-outs before it begins implementing layoffs. Manufacturing plants and sales offices across the country will be affected, he said, but many of the cutbacks are expected to take place at the company’s main office and research facility, which together employ 800 people.
USG reported a net loss of $40 million for its last quarter, with sales of $1.2 billion. The housing downturn, combined with a rise in the costs of raw materials and energy, has impacted the company’s financial health, the company said.