by Company alerts workers that it has been unable to secure critical financing to continue operations
TAYLORSVILLE, N.C. – Luxury upholstery and case goods manufacturer and retailer Mitchell Gold + Bob Williams announced to its employees that it is closing its business because of its inability to secure critical financing to continue its operations.
“In the wake of this unfortunate development, the company will sadly need to wind down operations and terminate the employment of our employees beginning on Aug. 26, 2023,” said Chris Moye, interim chief executive officer, in an Aug. 26 letter to employees obtained by Home News Now. “Because these events were unforeseen, we were unable to provide you and others more notice of this difficult decision.”
Moye said the employees’ last day of employment is expected to be Oct. 25, unless they are asked to provide additional services in the two weeks beyond that date or if their layoff date is changed between now and then. He added that there are no bumping rights to determine who will be separated and that the separations will be permanent.
“We are sorry to bring you this news,” Moye said.
He also noted that the company is notifying the state’s Dislocated Worker and Rapid Response Unit to offer employees any assistance possible resulting from their separation from the company.
Employees, he said, also will be paid all wages up through their final day of employment. Health benefits will end on Aug. 31, although employees are eligible to obtain benefits in the interim at their own expense through COBRA.
“We regret that this difficult and unexpected situation has made this necessary,” Moye added. “We also thank you for your service and dedication to the company and we wish you and your family the best during this transition.”
This is the second major furniture closing this month. On Aug. 7, Klaussner Furniture told its employees that it was ceasing operations immediately. The company said its lending source unexpectedly refused to fund the company’s operations, which put 884 employees out of work with little or no notice.
Home News Now will update this story as additional information becomes available.
