Hickory Springs will boost foam fabricating operations at its plants in Ocala, Florida, Lenoir, North Carolina, and Verona, Mississippi. As a result of this move, its Cleveland, Tennessee factory will close.
“Because of recent achievements we have made in operational efficiencies and our focus on lean manufacturing we have been able to increase capacity at our other southeastern facilities to better serve our customers,” said Michael Hinshaw, chief operating officer at HSM.
Production equipment has been moved from Cleveland to the company’s other foam fabrication facilities, and the majority of customers who had been serviced by the Cleveland factory have been successfully transitioned to the other plants.
The Cleveland factory primarily serviced customers in Tennessee and north Georgia. The vast majority of the foam fabrication serviced furniture manufacturers, but the factory also had customers in the healthcare, medical and packaging industries.
The plant’s 34 employees were given 60 days advance notice of the consolidation and received retention bonuses for staying on the job until production ended. Workers also were offered jobs at other Hickory Springs locations, and four agreed to relocate to the Ocala factory, Hinshaw said.
About HSM: HSM is a privately held company based in Hickory, North Carolina, with more than 30 manufacturing plants in 15 states. In addition to its core furniture and bedding markets, HSM also serves a growing range of customers in the transportation, packaging, healthcare, apparel and other industries.