iQor call center in Klamath Falls may not shut down on Aug. 30 — putting 300 people out of work — if it is able to secure a new contract for work at the center that sits up in the Tech Hills complex just north of town.
“As previously stated, our leadership team and a number of our sales executives are continuing to reach out to prospective partners to secure a new line of work for us to perform in Klamath Falls,” according to a statement issued Monday from Robert Constantine, vice president of marketing in St. Petersburg, Fla.
“Please know that we are working incredibly hard to secure another client. We will notify our family in Klamath Falls and the broader community if a deal has been reached before August 30.”
iQor issued the WARN statement to all of its staff last week, notifying employees that without a new work contract, the staff would be laid off and the site permanently closed down. A WARN is a Worker Adjustment and Retraining Notification under U.S. labor law which protects employees, their families, and communities by requiring most employers with 100 or more employees to provide 60 calendar-day advance notification of closing or layoffs.
A letter given to employees last Wednesday, and to the city of Klamath Falls, reads, “TechFive LLC, a subsidiary of iQor has determined that it must close its facility located at 6000 New Way, Klamath Falls by August 30. The entire facility will be closed and all employees at the facility will be impacted. This closure is expected to be permanent.
“There are ongoing efforts to contract with another vendor to continue operations in Klamath Falls but at this time, we do not have a signed contract to continue operations. Should we be successful in that venture, this notification will be withdrawn. Should we not be successful, the site will be closed.”
“Based on the information currently available, we expect that your position will be eliminated, and you will be separated from employment with the company between Aug. 16 and on Aug. 30,” the letter said.
Employees will be paid regular wages through the date of their separation and will receive severance pay if they stay on until the layoff takes effect or a new contract is signed. The letter was signed by Sonia Goyal, vice president of human services.
This is not the first time the center had layoffs and it usually happens when a customer contract ends with the call center. The center was initially an Asurion contact center, a customer and product support business center. It had layoffs throughout its history in Klamath Falls. Asurion transferred to iQor, a global provider of outsourced business solutions, on Dec. 1, 2016.
The company declined to say how much its annual payroll is. It apparently does not own the property. County Tax records say that the assessed value of the property is $4.1 million and the property owners paid $70,912 in taxes last year.
There is no union representing the employees, hence the company does not have so-called bumping right whereby it could transfer more senior employees to other iQor operations.