SHAKOPEE, Minn. — In less than two months, the first round of layoffs will begin at the Shutterfly facility in Shakopee that sits just off Highway 169. Although some employees told KARE 11 their last day is next week.
Nearly 250 workers will eventually be laid off before the regional hub closes for good next June.
The manufacturing plant made news when it broke ground in Shakopee nearly 10 years ago.
The digital photo company built a 217,000-foot building that employed hundreds of people and the city even provided tax incentives back then for meeting certain job numbers.
Except this year, some workers said some things were different.
"They're going to consolidate some things and there's going to be some changes in the company," said one employee who didn't want to be identified.
First, there was a round of layoffs in January, and just this week, the company announced another 246 employees will lose their jobs.
"A lot of the people I know are really concerned and there were a lot of tears flowing on Wednesday," said that anonymous employee. "Nobody was expecting that at all."
The company alerted the state Wednesday about its decision in a letter, saying employees can apply for other positions in other facilities. Another worker told KARE 11 it's not for a lack of demand, but rather, a change in ownership that now controls at least three other companies.
"They got to keep their investors and stockholders happy. It's always about the dollar, and so a lot of the work we're doing here is going to India."
Several employees said the company is providing therapists on site and the Department of Employment and Economic Development's Rapid Response Team will be working with representatives from Shutterfly to address the employer’s needs, as well as those affected by the closure.
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