Lexmark to layoff 143 Lexington employees

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LEXINGTON, Ky. (WKYT) - At least 143 employees in Lexington will be affected by layoffs at Lexmark International Inc., according to city officials.

Susan Straub, spokeswoman for the mayor, said the city was notified Tuesday night about the layoffs. The first departures from the Lexington facility should occur between May 25 and June 8, Straub said.

Mayor Jim Gray tweeted that he reached out to Lexmark leadership to work with employees affected by the layoffs.

Sources say Lexmark employees were notified Wednesday morning.

Jerry Grasso, a spokesman for Lexmark, declined comment about the layoffs, saying the company does not publicly discuss human resource matters.

Grasso referred to comments made Feb. 23 in the company's earnings announcement, which said the company was restructuring to generate "ongoing pretax savings of $100 million."

Lexmark International Inc. announced last month that it was cutting approximately 550 jobs or about 4 percent of its workforce. The company said the cuts would be part of its worldwide workforce, and would not say how Lexington headquarters would be impacted. There are 2,300 people at the Lexington facility.

The cuts are part of a restructuring plan expected to save the company $67 million this year, and $100 million next year. The company has told shareholders that the jobs will be eliminated over the next 12 months.

Lexmark has been struggling to adjust to a change in climate in terms of technology. In October, the company announced that it was exploring its options and hired Goldman Sachs Inc. to provide the company with advice.

Earlier this year, Chief Executive Paul Rooke released a statement saying the company was continuing its "exploration of strategic alternatives and are very pleased with the progress being made, including the positive interest we are receiving."

In February, reports surfaced that Lexmark could be splitting up some of its businesses. Bloomberg Business reported that Lexington had received initial bids for its software operations.




 
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