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CONCORD - While owners of Customized Structures Inc. continue to stonewall, Gov. John Lynch announced today that the state has secured two additional weeks pay for the company’s workers.
Gov. Lynch, Labor Commissioner George Copadis, Employment Security Commissioner Richard Brothers and Michael Power of the Workforce Opportunity Council will be at the Claremont New Hampshire Workers Center at 1 p.m. Friday to update the workers. Checks will also be available for the company’s nearly 120 workers at this time.
Customized Structures, which is owned by Massachusetts-based investment firm Watermill Ventures, laid off all of the company’s employees on Christmas Day with only a few days notice and no severance pay, which is in violation of federal law. Watermill Ventures continues to refuse to meets its moral and legal obligations to the workers.
“I want to thank Merrill Lynch for being a good corporate citizen and for working with us to help these workers,” Gov. Lynch said. “These funds will provide some help in getting these workers through this difficult time.”
The checks, equaling two weeks salary, will be available at the 1 p.m. meeting on Friday at the Claremont Employment Security Office, 404 Washington St. Employees of Customized Structures must bring proper identification in order to receive their check. Checks will be mailed to anyone unable to attend. Workers with additional questions may contact New Hampshire Department of Labor Commissioner George Copadis at 271-3699.
The Attorney General has filed motions in U.S. District Court in Concord asking for a preliminary injunction blocking the owners of Customized Structures from selling off its assets in the company, and asking for an expedited hearing on the matter.
The funds, while helpful to workers, do not represent all the money that workers are owed. On Wednesday, the company began bankruptcy proceedings, which will delay the Attorney General’s actions.
“I am appalled by the continued callous disregard for the workers and the law by Watermill Ventures and the board of Customized Structures,” Gov. Lynch said.
Companies with more than 100 employees are required to provide 60 days notice, or the equivalent severance pay, under the federal Worker Adjustment and Retraining Notification (WARN) Act. Upon hearing of the proposed closing without the required notice or severance, Gov. Lynch contacted officials at Watermill Ventures a few days before Christmas to urge them to follow the WARN Act. After conversations with the Governor, Watermill and the Customized board agreed to provide employees with two weeks severance pay, which does not meet the requirements of the WARN Act.
Customized Structures, which designs and builds modular homes and buildings, was started in 1984. Watermill Ventures purchased the company in 2003.
Members of the state’s Rapid Response Team continue to work with Customized Structures employees in order to help them re-enter the workforce.
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