Knutson Construction Announces 40 Layoffs in Iowa City

It’s always a tough day when people lose their jobs, especially when it’s not their fault. Recently, Iowa has been grappling with a series of troubling job losses that have left many in the community in shock.

First, John Deere made headlines for a large number of layoffs that affected hundreds of employees. This was a major blow to both employees and the local economy. Then, Duluth Trading Company also contributed to the wave of layoffs by announcing the closure of one of its distribution warehouses. This decision resulted in the loss of 70 employees, further straining the labor market.

More details about the job losses at Duluth Trading can be read here: Duluth Trading Job Loss.

Now, more troubling news is on the horizon. Knutson Construction has revealed plans to lay off 40 employees in Iowa City by the end of next month. This upcoming layoff will undoubtedly add to the state’s list of lost jobs, creating additional challenges for those affected and the local economy. Knutson Construction issued a statement to KCRG-TV through a spokesperson: “While this is the right decision for our company, it is difficult because it impacts our employees in Iowa City,” said Amy Schilling. “Our highest priority over the next few months is to align this change with our core values ​​as an organization, and most importantly, how we treat our customers, partners and employees.”

Knutson Construction was named, along with another contractor, in a lawsuit filed by University of Iowa Stead Family Children’s Hospital in 2022. The lawsuit alleges a “defective window system.” It is unclear whether the lawsuit was a contributing factor to the layoffs.

As the wave of layoffs continues, it is important that communities and support networks come together to provide help and opportunities for those affected.