#3 CDS Global closes in June, costing 200 people their job
RED OAK — Montgom-ery County’s fledgling job market endured another significant loss when Red Oak’s third largest employer, CDS Global, announced it would be closing in June.
Closing of the 21-year facility where magazine subscriptions were processed resulted in about 200 people losing their jobs.
“Our employees’ commitment to excellence has shaped this company’s success and will continue to be the foundation for future growth,” CDS Chairman and CEO Malcolm Netburn said. “This was a difficult decision due to the loss of valued CDS Global employees.”
The news came as a surprise to employees and local officials.
“The Association (Red Oak Chamber and Industry Association) was not aware of the situation until informed by public,” Red Oak CIA Director Darrell-Steven Carlyle said. “Obviously, this is a major setback for the community.”
CDS Vice-President Eileen White indicated this was a decision made at the corporate level, and that there is little that can be done locally to prevent the closing.
“There were no discussions (with local officials)” White said. “It was an executive decision made at CDS Global because of changes in our clients’ business. It has changed and it’s not going to change back.”
White said most of the work previously done in Red Oak would be outsourced to facilities in Harlan and Boone, Iowa, two of its other 14 processing plants.
