Advancements in technology contribute to battery plant layoffs

A number of evolving conditions including market conditions and recent advancements in battery cell technology have contributed to the lay-off of employees at Amplify Cell Technologies and to the extension of the facility’s battery timeline for production, according to Justin Hall, executive director of the Marshall County Industrial Development Authority.

“Amplify told us they regularly review operations and evolving markets and they are adjusting their timeline,” Hall said. “But, construction activities continue at the site and Amplify is advancing manufacturing know-how at the present time.”

Amplify made a decision to reduce its team to adjust to its current business needs, he said.

“Amplify remains committed to the project and will work with a reduced work force for a period of time,” Hall said.

The company remains committed to keep its agreement with the State of Mississippi, he said.

There are four partners in the battery manufacturing plant, Daimler, PACCAR, Accelera by Cummings and EVE Energy, Hall said.

An estimated 100 people were employed before recent layoffs which were connected primarily with the production date being pushed forward. The start-up date for production at the battery plant has been extended without a specific date. The delay in startup is primarily due to new developments in the market and new advances in battery technology, Hall said.

The Mississippi Development Authority is aware of the WARN notice issued and other personnel changes implemented by Amplify Cell at its Marshall County project site under its codename Project Poppy.

Amplify Cell told the MDA of its continuing commitment to the project at the battery plant and to the successful fulfillment of its long-term development plans in Mississippi, according to a recent MDA communication.

The company discussed its reasons for its action to MDA leadership and specific questions regarding the company’s decision should be directed to Amplify Cell, as these matters involve confidential and strategic business information.

The terms of Amplify’s agreement with MDA requires production to commence and to achieve defined employment levels by 2031. The state’s associated incentives connected with the project are performance-based and time-based and MDA evaluates Amplify Cell’s compliance as the project advances.

“Amplify Cell remains in compliance with its contractual obligations to the state,” MDA said in its communication.