Trifecta of layoffs lands in Colorado
DCP Midstream, Pinnacle Architectural Lighting, Curaleaf plan to cut 334 jobs
Three Colorado employers have notified the state that they plan to eliminate 334 jobs in Denver and Pueblo, according to Worker Adjustment and Retraining Notification letters filed with the Colorado Department of Labor and Employment this week.
The largest of the three layoffs comes from Pinnacle Architectural Lighting Inc., which is closing its lighting products manufacturing plant and distribution facility at 3801 Havana St. in Denver and eliminating 151 jobs. The cuts are expected to start in June and stretch through the first quarter of 2024.
“This closure is due to a restructuring and reorganization, which will involve merging the company’s work facilities and related business operations in Kenosha, Wis., and Denver,” Sherri Shimomura, vice president of human resources for Legrand Lighting Sector, wrote in a WARN letter.
In 2016, Legrand North America, a subsidiary of the French conglomerate Legrand, acquired Pinnacle, which had developed a reputation for unique lighting designs and fixtures.
DCP Midstream, a natural gas processor that has ranked as the state’s largest petroleum industry employer, informed the state that it would cut 136 jobs at its DTC headquarters. Nationwide, the company had about 1,800 employees last year.
“DCP Midstream expects the associated layoffs to be permanent,” Lisa Mora, a senior human resources executive with the company said in her WARN letter to the state. The layoffs will be even more stretched out than those at Pinnacle, starting on March 31 and wrapping up a year later.
On Jan. 6, Phillips 66, based in Houston, announced it had secured agreements to purchase nearly 87% of the common units of DCP Midstream for $3.8 billion, completing a takeover plan it had made public in August. The deal is expected to close in the second quarter. Phillips 66 said the acquisition is expected to generate
$300 million in “commercial and operational synergies.” The job cuts are part of that.
DCP Midstream previously had its headquarters at Republic Plaza in downtown Denver but in 2021 subleased 72,000 square feet of office space from Newmont Mining in a new building at 6900 E. Leyton St. Early last decade, the company had invested heavily in building gas pipelines and processing facilities in the Denver-julesburg Basin.
Curaleaf Holdings Inc., a New York-based maker
and retailer of consumer cannabis products, said on Jan. 26 that it would shutter its operations in California, Colorado and Oregon. On a letter dated the same day, the company also informed the state’s labor department that 47 positions in Pueblo County would be eliminated.
In its letter to the state, the company said it would be closing operations at 920 38th Lane and 127 S. Nielson Ave. in Pueblo; 748 E. Industrial Blvd. and 129 E. Enterprise Drive in Pueblo West; and 46795 E. Colorado 96 in Avondale.
“The company will exit production and cultivation facilities in California, Colorado and Oregon. While these states have contrib
uted to the growth of Select and other Curaleaf wholesale brands, the company acknowledges the difficult operating environment in these investment states and will instead place a laser focus on cash generation in its core revenue- driving markets moving forward,” Curaleaf informed investors.
Curaleaf cited “recent legislative decisions, price compression and lack of enforcement of the illicit market” as why it was leaving the three states.
The layoffs in Colorado and elsewhere account for about 10% of the company’s workforce and combined with other measures will save $60 million in payroll and other costs, Curaleaf said.