KINGSPORT, TN (WJHL) – Kingsport-based Eastman says it is taking action to reduce costs across the company. About 130 employees will be impacted worldwide.
“We announced to employees in August that we would be reducing costs an additional $100 million to help offset challenges created by a number of headwinds, including intensified competition, low-oil and a slow growth economy, “ said Eastman spokeswoman Tracy Kilgore Addington. “We have taken a number of actions to reduce costs in high spend areas across the company, including labor and benefits. Benefits changes were announced earlier this month, and we are now in the process of notifying employees impacted by the labor reductions. In an effort to minimize the impact to employees, we have also made significant changes to increase productivity and reduce our overall spend in areas like raw materials purchases and operating processes. We expect the total number of involuntary reductions to be fewer than 130 worldwide.
Eastman employs about 6,000 in Kingsport and nearly 15,000 worldwide. It’s expected to announce its third quarter earnings on Thursday.