Employees at Kraus Flooring in Waterloo have been told this is their last week of work.
One employee, who did not want to be identified, says they were told Wednesday that “Friday is your last day and we don’t know when you are coming back.”
The union representing Kraus’ employees, United Food and Commercial Workers, has confirmed the layoff is indefinite.
A spokesperson says they don’t yet know if the nearly 60-year-old flooring company is closing or the layoff is the result of bankruptcy.
Kraus was hard hit by the U.S. housing crisis in 2012. After it was purchased by Hilco, a global financial holding company, employees agreed to a $1 an hour wage cut.
President and CEO of Kraus Shawn Davies said in a statement, "I can confirm our plant in Waterloo is open. The employees are on temporary layoff as of September 7. This is in the normal course of business. Our sales offices and other facilities are open and it is business as usual with Kraus."
The layoff could impact up to 190 workers at both Kraus and its sister company Strudex Fibres.
