Jan. 21--CHARLESTON, W.Va. -- Rio Tinto Alcan -- the largest employer in Jackson County -- announced it will cut 168 jobs at its Ravenswood rolling mill, mainly because of the weakening economy.

Rio Tinto Alcan's Ravenswood rolling mill currently has about 1,200 workers. Rio Tinto Alcan said on Wednesday that its workforce reduction plan is expected to impact 140 permanent employees and 28 temporary workers. Company spokesman Mark Zelazny said the layoffs will start Feb. 2 and continue for three or four months. "It will be a very gradual reduction," he said.

Steve Abelman, president and chief executive officer of Alcan Ravenswood, said in a prepared statement, "These measures, while extremely difficult, are necessary for the Ravenswood facility to maintain our competitive position during this severe economic downturn. They will ensure that it's better positioned to get through the crisis and bounce back quickly once the market recovers."

The company said the reduction in its Ravenswood workforce includes the impact of a decision made last year to exit the brazed aluminum sheet market.

Alcan said that in addition to reducing the workforce, it will cut costs in other ways.

The Ravenswood announcement came one day after Rio Tinto Alcan announced a variety of moves designed to reduce its costs, including a six percent reduction in aluminum production, brining the total reduction Rio Tinto Alcan has announced since December to 11 percent; a global workforce reduction of 800 employees and 300 contractors; and cost-reduction programs at company facilities worldwide.

The Rio Tinto Alcan news comes on the heels of a December announcement by the Ravenswood rolling mill's next-door neighbor, Century Aluminum Co., that it may close its smelter Feb. 15 unless the price of aluminum on the London Metal Exchange stabilizes and the plant's costs are reduced.

Century has said it needs to eliminate $6 million to $7 million in monthly costs immediately so it can gain enough time to find a long-term solution for the smelter. The plant has 685 employees and is Jackson County's third-largest employer. Company spokesman Mike Dildine said Monday that 120 workers who were working on a production line that was shut down in December will be laid off Feb. 15.

Kaiser Aluminum established the rolling mill and smelter as one unit in 1957. They split in two in 1999.

As recently as 2006, the rolling mill was purchasing about 85 percent of the molten aluminum produced by the smelter. But that percentage has apparently declined in recent years. In a Dec. 16 letter to Ravenswood Mayor Lucy Harbert, Century's Ravenswood plant manager, James Chapman, said, "a major customer of the smelter has decreased the amount of aluminum they purchase."

Contact writer George Hohmann at business@dailymail.com or 304-348-4836.

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