There’s no better time to drop some bad news than during an Apple keynote. So while the rest of the world was distracted with new iPads and a Retina iMac, Apple’s sapphire glass supplier informed workers at its Mesa, Arizona plant that most of them are getting laid off.
The sapphire plant was expected to bring over 2,000 new jobs to the area in its effort to supply iPhones and Apple Watches with unbreakable displays, but after 12 months of disaster, GT Advanced Technologies informed Mesa City Council today of its plan to eliminate 727 jobs from the plant.
GT Advanced Technologies announced its plans to close the Mesa plant earlier this month after filing for chapter 11 bankruptcy, in order to get out of the “oppressive” conditions of Apple’s contract. The company sank into financial trouble after failing to meet performance requirements to receive its final $139 million payment from Apple, while its CEO and COO both made millions dumping shares ahead of the iPhone 6 keynote.
The positions being laid off includes 524 production workers, 108 technical jobs, 70 management positions, and 25 administrative roles, says GT’s VP of human resources, Linda Luman.
The mass layoff is expected to start on Tuesday, as employees were informed of their departure dates Thursday afternoon. All 727 employees will be “separated from employment” by December 15th.
The Apple plant was viewed as a huge economic win for the city of Mesa, and Arizona in general, as Governor Jan Brewer bent nearly every rule in the book to land the plant. It was estimated that the plant would bring billions of dollars into the area. Apple could still retain ownership of the plant and bring in a new company to operate the sapphire furnaces, but it could take a long legal battle with GTAT before a new tenant moves in.
