Local Business and Economic Development

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Roanoke City mayor Sherman Lea said at this afternoon’s City Council meeting that he was not informed about the Norfolk Southern layoffs at the East End and Shaffers Crossing shops before those employees got pink slips this morning. Roanoke City manager Bob Cowell says there may be one small silver lining:

Cowell pegged the number of layoffs at 133 and says the city will work with the union in trying to find jobs for those skilled employees being laid off.

Del. Sam Rasoul

NEWS RELEASE: Delegate Sam Rasoul (D-Roanoke City) condemns today’s announcement that Norfolk Southern will layoff roughly 130 Roanoke workers. “I am shocked and deeply disappointed to hear about Norfolk Southern’s plans right after Labor Day,” said Rasoul. “Aside from financially harming families and creating a severe economic blow to the Roanoke Valley, this decision shows a blatant disregard for Roanoke’s role in helping to build the railroad in our region.”

O’Brien Meats in Salem will close immediately after 45 years in business. In a Facebook post yesterday, the butcher shop said “ The O’Brien family has decided to close after 45 years at the location on West Main Street. We do so with extreme gratitude for our longtime and faithful customers, and the beautiful city of Salem.”

From O’Brien Meats Facebook

The scenario we told you about several weeks ago at Norfolk Southern is now a reality – more than 100 local NS employees are losing their jobs. An update from WFIR’s Gene Marrano:

RELATED: Rasoul condemns Roanoke NS layoffs

RELATED: City manager says laid off NS employees are skilled, should find new work

NORFOLK SOUTHERN STATEMENT: “In today’s rapidly changing environment, Norfolk Southern continues to focus on ensuring that we have the optimal number of people and assets at every location across our system in order to operate safely and efficiently. As we execute our new strategic plan, we expect that targeted hiring and furloughing will remain components of our operating model. Today, that entailed the furlough of approximately 130 employees in Roanoke, Virginia. Furloughed employees will have the opportunity to apply for positions elsewhere at Norfolk Southern.

Consistent with our strategic plan and current business levels, our ability to streamline operations and use fewer locomotives has required the difficult but necessary decision to reduce our locomotive mechanical forces due to the decreased demand for locomotive repair. Norfolk Southern will continue to evaluate staffing needs as our business evolves.”

PREVIOUS: A source with input from union sources now says  80 were laid off from the East End shops and 50 from the Shaffer’s Crossings shops.

PREVIOUS: A Norfolk Southern employee says a scenario we told you about several weeks ago now appears to be a reality: saying the Shaffer’s Crossing NS facility and the east end shops laid off a number of employees today – reportedly at least 100. At full strength Shaffer’s Crossing has about 300 workers. We are attempting to get additional information from Norfolk Southern corporate on the reported layoffs.

RBRA photo

The passenger numbers keep taking off at Roanoke-Blacksburg Regional Airport. Officials there say the number of people flying in and out in July was up 5% from the same month last year. And for the first 7 months of 2019, year-to-date passenger traffic is up almost 8%.

NEWS RELEASE: The Roanoke-Blacksburg Regional Airport continues to see 2019 traffic increase with July traffic up 5.0% on a year over year basis. July 2019 saw 61,627 passengers fly via ROA compared to 58,646 in July of 2018, an increase of 2,981 passengers. Year to date passenger traffic is up 7.8% versus 2018 with 401,705 passengers served this year compared to 372,503 in 2018. Strong community support, additional capacity, and improved airline operational reliability have all played roles in the continuation of sustained passenger growth, which began in September of 2016. July 2019 saw an increase of 2,981 passengers versus July 2018, which equates to 96 more passengers flying ROA each day. Year to date 2019 traffic is up an average of 137 passengers a day versus 2018. At this pace, the airport is on track to have its busiest year since 2000. “We are pleased to see this positive trend continue in to 2019, especially given our strong traffic numbers in 2016, 2017 and 2018,” stated Timothy T. Bradshaw, A.A.E., executive director of the Roanoke Regional Airport Commission. “Passenger demand is a critical factor when speaking with airlines regarding improving and increasing air service to our region. Our carriers have added capacity at ROA and our customers have utilized it. We appreciate the support of our community choosing to fly ROA.” The Commission continually works with the airlines to improve reliability, reduce airfare and upgrade equipment serving the region. This has played a significant role in the increase of passengers using the airport. In addition, the commission has invested resources to promote the services available at ROA and sincerely thanks our customers for choosing to fly ROA.

RICHMOND, Va. (AP) – A Virginia craft beer brewer is getting into the hard apple cider business with the state’s help.Gov. Ralph Northam announced Friday that Apocalypse Ale Works in Bedford County is spending $300,000 to build Legacy Cider. News outlets report the new cidery will be attached to Apocalypse Ale Works’ existing production facility. Legacy Cider and Apocalypse owner Doug John says the current business climate is perfect for expansion, adding that the state’s climate also is perfect for apples.Northam approved a $12,000 grant through the state’s Agriculture and Forestry Industries Development Fund. The new cidery plans to create up to eight new jobs and rely solely on Virginia apples. It’s expected to purchase about 12,150 bushels of Virginia-grown apples over the next three years.

A Floyd Fest headliner really liked a downtown Roanoke restaurant. Kacey Musgraves placed a video on her Instagram story with the menu for Caribica Soul at the Roanoke City Market Building and the caption “the BEST jerk chicken I’ve ever had” tagging the restaurant’s account. Musgraves went on to say that the restaurant brought some of their Caribbean food to her and the band after their Floyd Fest show. The owners of Caribbica Soul say after that they were invited to do some catering at the Musgraves tour wrap party in Nashville.

The Valley View Mall Sears store will close in late October. Its parent company made the announcement today, listing it among more than two dozen Sears and Kmart stores closing nationwide. Liquidation sales will begin one week from Thursday. The Sears Auto Center at Valley View will close even sooner — late this month. This is the latest in a series of store closings; the company cites a weak retail environment and other challenges.

Click here for the full news release