Thermo Fisher Scientific, a leading global manufacturer in the life sciences sector, has made a significant decision to close its plant located north of Asheville, North Carolina. This closure, projected to occur over the next two years, will result in the loss of more than 400 jobs.
Announcement of Layoffs
In a letter dated January 8 to the North Carolina Department of Commerce and Asheville Mayor Esther Manheimer, Thermo Fisher revealed that it anticipates laying off 421 employees as the Weaverville facility winds down operations. The company plans to initiate layoffs starting December 31, with additional reductions continuing until the end of 2027.
Reasons for Closure
While the letter did not specify the reasons for this closure, Thermo Fisher’s media team stated in a subsequent communication that the company must adapt to meet current customer demands. They indicated that operations at the Asheville site would be phased out by the end of 2026, with certain product lines transitioning to other facilities within the United States.
Impact of the Pandemic
The Weaverville plant experienced unprecedented demand during the COVID-19 pandemic, marking a peak period in its operational history. The facility produced hundreds of ultra-low-temperature freezers daily, essential for storing COVID-19 vaccines. To accommodate the surge in demand, Thermo Fisher expanded its workforce by adding 200 employees in 2021.
Company Overview
Thermo Fisher, headquartered near Boston, stands as one of the largest suppliers of laboratory equipment globally. With a market capitalization of approximately $234 billion, it ranks as the 71st most-valuable publicly traded company worldwide. The company employs over 26,000 individuals across the U.S. and Canada, with nearly one-third of those positions based in North Carolina.
Presence in North Carolina
Last summer, Thermo Fisher reported employing around 7,800 workers across 13 locations in North Carolina, including sites in High Point. In 2024, the company opened a new 375,000-square-foot facility in Mebane, dedicated to producing precision pipette tips and laboratory kits.
Commitment to U.S. Manufacturing
In its communication to The News & Observer, Thermo Fisher emphasized that the closure of the Asheville plant does not signal a strategic shift in its commitment to U.S. manufacturing. The company affirmed its ongoing investment in North Carolina, aiming to maintain a robust presence in the state despite the impending layoffs.
Historical Background
Thermo Fisher has been operational in the Asheville area since 2005, following the acquisition of Kendro Laboratory Products, a division of Charlotte’s SPX Corp., for $833.5 million. Kendro had a facility in Weaverville, which specialized in the manufacturing of ultra-low-temperature freezers and other laboratory products. The following year, Thermo Electron purchased Fisher Scientific International, leading to the current name of the company.
Future Prospects
As Thermo Fisher prepares for this transition, the focus will shift towards the remaining facilities and product lines within its operational framework. The company is poised to continue its significant role in the life sciences sector, even as it undergoes this operational adjustment.
Key Takeaways
- Thermo Fisher plans to close its Asheville plant, resulting in over 400 layoffs by the end of 2027.
- The Weaverville facility saw significant operational increases during the COVID-19 pandemic.
- The company remains committed to U.S. manufacturing and has continued investments in North Carolina.
In conclusion, the closure of the Asheville plant marks a pivotal moment for Thermo Fisher Scientific. As the company navigates these changes, it remains focused on adapting to market demands while continuing to invest in its U.S. operations. The future holds both challenges and opportunities as Thermo Fisher ventures into its next phase of growth.
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