MEMPHIS, Tenn. –On Wednesday, Conduit Global announced it is laying off 592 employees at its Cordova location by July 2.
According to the Chief People Officer, Kevin Gaugush, the move comes after “an unforeseen loss of business,” and the company lost a client.
Employees told WREG a general manager delivered the bad news today, and said there were tears, outbursts and everyone was caught off guard.
“They don’t need us anymore basically. Since we were in training, this will be our last day since there is no need for us training,” said one employee who had been with the company for five weeks.
WREG was the first to let Memphis Mayor A C Wharton know about the layoffs, and he was very disappointed.
“It’s unfortunate that Conduit’s loss of a primary contract is causing them to reduce their workforce here. I am hopeful that those employees will find other jobs and training opportunities that are available in our city,” said Wharton.
Just last year, the city, county and governor hosted a celebration sending high praise to the company for promising to bring 1,000 call center jobs to Shelby County for an average wage of $10 per hour.
In fact, even the state handed over $2 million in tax breaks.
“It just opened!” said Marnesha Stone.
Ironically, she was actually interviewing for a job when she heard about the layoffs.
“I’m going back in and taking my typing portion Monday. I’m going to go in still and see what they say,” said Stone.
Conduit Global will keep 70 positions at the Cordova location.
Gaugush said the company will work with the Tennessee Career Centers, and hopefully host a job fair for other companies in the area to help the employees affected. Some employees could be transferred to other offices.