Georgetown Navigates Uncertain Future Following Impending Closure of International Paper Mill

https://icaro.icaromediagroup.com/system/images/photos/16386436/original/open-uri20241031-18-456sx7?1730405598
ICARO Media Group
News
31/10/2024 20h06

**Georgetown Faces Uncertain Future as International Paper Mill Closure Looms**

The community of Georgetown is grappling with the impending closure of its long-standing economic pillar, the International Paper mill (IP), which will result in the loss of nearly 700 jobs. Rev. Ted McCall, reflecting from his front porch at the corner of Front and Hazard Streets, shared his deep concerns as the sounds of log trucks passing his house will soon be a relic of the past. For almost a decade, McCall, now 72, relied on the mill to provide for his family after beginning electrical work there in 1982. "It's a sad day for Georgetown," he lamented, emphasizing the mill’s integral role in the lives of many in the community, including his own.

Union president Diwane Winns, representing International Paper's production workers, revealed that the closure came as a shock even after months of slow business recovery post-COVID-19. He disclosed that the workers were informed during a town hall meeting on October 31, 2024. The mill's production had been struggling, and attempts to secure new customers proved unsuccessful, leading to what Winns described as a "slow bleed" in operations.

Andy Silvernail, the CEO of International Paper since May, has steered the company through a series of strategic shutdowns aimed at optimization and cost reduction. Silvernail highlighted during a third-quarter earnings call on October 31, 2024, that this closure is part of a broader initiative to "reduce complexity" and improve returns. The decision aligns with recent layoffs and closures within the company, including the shutdown of a container facility in Statesville, North Carolina, and the layoff of 650 corporate employees.

Amy Simpson, an IP spokeswoman, explained that the closure follows a review of market conditions and demand, noting that certain mill functions will continue into the new year to ensure a safe and environmentally focused shutdown. However, the future of the mill’s property remains undecided.

The impact of the closure extends beyond the mill's employees. Georgetown's economy, which transformed significantly after the mill's establishment in 1936, is poised to suffer considerably. The mill has been a crucial economic engine not only for Georgetown but also for the surrounding counties, employing thousands over the years and supporting numerous local businesses.

Georgetown County spokeswoman Jackie Broach articulated the community's sentiment, labeling the loss as "devastating" and acknowledging that local leaders are scrambling to devise a plan to mitigate the economic fallout. Mayor Carol Jayroe echoed these concerns, noting the mill's positive influence over the years and expressing deep sympathies for those affected.

As Georgetown braces for this significant change, the community remains hopeful for new economic opportunities to emerge in the near future. This story is still developing, and further updates will be provided as they become available.

The views expressed in this article do not reflect the opinion of ICARO, or any of its affiliates.

Related