Local, state officials discuss impact of Husqvarna closure

By Patrick Massey

NASHVILLE, Ark. — Community leaders in Howard County say they’re taking steps to help 700 soon-to-be displaced workers after Husqvarna announced this week that it would close its long-running production facility in Nashville.

Husqvarna announced the afternoon of July 17 that the company will be closing its production facility in Nashville by the end of 2024. According to a news release issued by Husqvarna on Tuesday, July 18, the producer of chainsaws and other handheld tools said it plans to consolidate operations in Nashville with facilities in South Carolina, China and Brazil over the next 18 months.

Nashville Mayor Larry Dunaway said the announcement came as a complete surprise to local officials. “It was a kick in the gut, a total absolute surprise.”

Dunaway said the economic impact of Husqvarna’s departure is going to center on Nashville but spread across the entire region. The facility supports hundreds of workers but also a range of auxiliary companies that support Husqvarna’s operations in Nashville. Many of those workers travel from De Queen and other adjacent areas to Nashville each day.

“We’re talking about roughly 700 jobs that are going to be lost,” Dunaway said. “We have a few months to prepare for this, but the impact is going to be felt from De Queen to Prescott. We have people who come in and work here from all across the region and there’s going to be a big ripple effect. We also have satellite companies that support Husqvarna.”

Dunaway said his thoughts and those of other local and state govern- ment and economic leaders are with the affected workers. During a meeting with state economic officials in Little Rock Tuesday morning, Dunaway said the emphasis was on how to support those workers slated to lose their jobs next year.

“We met with the Arkansas Economic Development Commission and the plant manager from Husqvarna plant here in town,” Dunaway said. “We got a lot of good feedback. Right now, the focus is going to be on those displaced workers. There’s a plan that’s going to be put into motion to bring job fairs in Nashville and talk to these workers to help them and try to help them find jobs so they won’t be unemployed for very long.”

The loss of a critical industry is always a significant blow, but especially for a small town like Nashville. However, Dunaway said he’s certain his community will weather the storm and that Husqvarna’s departure will open the door for another industry in the near future.

“Since the announcement came out, I’ve gotten so many calls from people here in town and across the area encouraging me, providing ideas and offering their help to help those workers who are losing their jobs and how to try and recruit a new business,” Dunaway said. “Something like this brings people together. Already the town has come together, we’re going to get through this and get another business in here. We have a working facility another company could move in to and get right to work. The city is willing to help however it can to help make that happen.”

In a statement, Arkansas Commerce Secretary Hugh McDonald said his department will work with local officials to reduce the impact of

Husqvarna’s decision to pull out of Nashville.

“The Arkansas Department of Commerce is committed to working with Husqvarna and community leaders to minimize the effects of this unfortunate decision to discontinue operations in Nashville,” McDonald said. “The Department of Commerce, including the Arkansas Division of Workforce Services, will be mobilizing to assist workers who are affected and offering resources and job training to get them back in the workforce. Nashville, Arkansas, has all the components companies are looking for: available real estate, an experienced workforce, and a favorable business climate. We recognize the significant impact this decision will have on the lives of these employees and their families and helping them will be our top priority.”

The Swedish-based company issued its six-month interim report Tuesday morning, in which Husqvarna stated that it is consolidating its “global manufacturing footprint, with the discontinuing of the handheld production facility in Nashville.”

The closure was announced alongside Husqvarna posting an 11% rise in quarterly-adjusted operating profits on Tuesday. Part of that increase, the company stated in its interim report, is due to a reduction in its inventory. Husqvarna also posted a 7% increase in net sales between January - June 2023.

The Husqvarna Group closed its facilities in De Queen and Shreveport, Louisiana, in 2017. At that time, the De Queen-based warehouse employed just 18 people. The facility employed considerably more workers before then when it still served as a production site.