News : Conduit to Lay Off Nearly 600 of 700 in Memphis Workforce
Memphis, TN, USA, May 6, 2015 -- Conduit Global, which opened a Cordova call center in June with state incentives, is laying off nearly 600 of its 700 Memphis employees.
The company acknowledged the layoffs Wednesday, May 6, saying the loss of a contract triggered the decision.
Conduit was supposed to employ 1,000 over three to five years under terms announced by Tennessee Gov. Bill Haslam and Memphis Mayor A C Wharton Jr. in January 2014. Conduit executives cut the ribbon on their call center in the Goodlett Farms subdivision five months later.
Conduit was billed as one of the largest job creation projects for Memphis in recent history. It was also targeted by critics of the city’s economic development strategy for the low wages paid by the service sector jobs.
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A contract with Verizon prompted Conduit to reopen in Memphis, a market it had been in previously.
Wharton was caught by surprise Wednesday when asked about what was then a rumor that Conduit was closing its Memphis operation.
The layoffs would leave approximately 100 workers at the Cordova call center.
Posted by Veronica Silva Cusi, news correspondent
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