WARN Act Layoffs in Western, Colorado

WARN Act mass layoff and plant closure notices in Western, Colorado, updated daily.

4
Notices (All Time)
403
Workers Affected
CCA- Kit Carson Correctio
Biggest Filing (141)
N/A
Top Industry

Recent WARN Notices in Western

CompanyCityEmployeesNotice DateType
CCA- Kit Carson Correctional FacilityWestern1412016-07-05
Bowie Resources LLC - Bowie Mine #2Western1022016-02-26
Bowie Resources LLCWestern782015-09-30
Ouray Silver MinesWestern822015-08-04

Analysis: Layoffs in Western, Colorado

# Economic Analysis of Western, Colorado WARN Layoffs

Overview: Scale and Significance of Workforce Disruption

Western, Colorado experienced a concentrated period of significant workforce disruption between 2015 and 2016, with four WARN Act notices displacing 403 workers across the community. While this represents a relatively small number of formal layoff notices, the scale of workers affected underscores the vulnerability of small Colorado communities to sector-specific economic shocks. The average notice affected over 100 workers—substantially higher than typical national WARN filings—suggesting that Western's employment base relies heavily on a small number of large employers. This concentration creates structural economic fragility, where individual corporate decisions at major facilities can reverberate across the entire local labor market and tax base.

The timeframe of these layoffs is particularly significant. The clustering of all four notices within just two years indicates that Western faced a genuine economic crisis rather than gradual workforce adjustment. For a small mountain community, losing 403 jobs represents the kind of shock that triggers secondary economic contractions—reduced consumer spending, commercial vacancy increases, and accelerated population outmigration among working-age residents.

Dominant Employers and Layoff Drivers

Three distinct industries drove the documented WARN notices in Western, each representing different economic vulnerabilities. CCA- Kit Carson Correctional Facility filed a single notice affecting 141 workers, making it the largest single displacement event in the dataset. As a corrections facility, this employer represents the government services and public-sector employment that anchors many rural Colorado communities. A reduction at this facility likely reflects budget pressures at the state or county level rather than operational failure, suggesting that fiscal constraints in Colorado's corrections system rippled down to Western's workforce.

The mining sector emerged as equally significant to corrections. Bowie Resources LLC filed two separate notices—one for its Bowie Mine #2 facility displacing 102 workers and a second filing affecting 78 workers. Combined, Bowie Resources accounted for 180 displaced workers across two distinct notices. This dual filing pattern suggests operational restructuring or phased closure rather than a single sudden shutdown. Ouray Silver Mines filed a separate notice affecting 82 workers, indicating that Western's mining sector faced synchronous pressure across multiple operators during this period.

Mining layoffs in 2015-2016 reflect the sector's exposure to commodity price volatility. The collapse in precious metals prices during this timeframe pressured silver and other mining operations across Colorado's mountain region. While gold and silver prices had recovered from 2008-2009 lows, the 2015-2016 period brought renewed downward pressure that forced operators to cut costs through workforce reductions. For Western, which appears to depend substantially on mining employment, this represented an existential challenge to local economic stability.

Industry Patterns and Structural Economic Vulnerabilities

Although specific industry classifications are unavailable in the dataset, the employer list reveals an economy organized around two primary sectors: extractive industry (mining) and government/institutional employment (corrections). This bipolar structure creates compounding economic risks. When commodity markets weaken and state budgets tighten simultaneously—as occurred in 2015-2016—small communities with this employment composition face synchronized job losses rather than diversified, offsetting employment shifts.

Western lacks the economic diversification seen in larger Colorado metros that maintain employment across technology, professional services, manufacturing, and tourism. The absence of service sector employers in the WARN data, combined with the dominance of resource extraction and government operations, suggests that Western's labor market offers limited alternative opportunities for displaced workers. A former miner or corrections officer cannot easily transition into comparable-wage employment within the immediate Western area.

The mining operations particularly warrant attention for their structural trajectory. Mining in Colorado's mountain communities follows a boom-bust cycle tied to global commodity markets. The 2015-2016 layoffs at Bowie Resources and Ouray Silver Mines likely reflected not temporary cyclical weakness but permanent capacity reduction or mine closure. Modern mining has become increasingly capital-intensive and less labor-intensive, meaning that even when commodity prices recover, employment levels rarely return to historical peaks.

Historical Trajectory and Layoff Trends

The data reveals a precise two-year window of major WARN activity without baseline information about prior or subsequent years. However, the pattern of clustering all notices between 2015-2016, with two notices in each year, suggests an acute crisis period rather than chronic, ongoing job loss. The symmetry across the two years—two notices each year affecting different sectors—indicates that Western faced sector-specific shocks that happened to overlap temporally rather than a single cascading employment collapse.

The absence of WARN notices before 2015 or after 2016 in the available dataset warrants caution in interpretation. It may indicate that the 2015-2016 period represented the worst of local disruption, with stabilization afterward. Alternatively, it may reflect incomplete data capture for years outside this window. Regardless, the concentration of notices within these two years represents a severe short-term shock to Western's labor market, with 403 displaced workers facing unemployment during a period of limited local job opportunities.

Local Economic Impact and Labor Market Consequences

For a small mountain community, losing 403 jobs creates cascading economic damage beyond the directly affected workers. Secondary job losses emerge as displaced workers reduce spending at local retail establishments, restaurants, and service providers. Municipal and county tax revenue declines as both payroll tax withholdings decrease and commercial property values potentially soften due to reduced consumer activity.

The corrections facility layoffs differ from mining layoffs in one critical respect: government employment typically offers higher wages and more stable benefits than comparable mining work. Loss of 141 corrections jobs removes substantial middle-class purchasing power from Western's consumer base. The 180 combined mining layoffs, while numerically significant, may affect workers in jobs with greater wage volatility and lower average compensation than correctional officers.

For workers displaced from these positions, local reemployment prospects appear constrained. Western's small employer base means that finding comparable-wage employment requires either accepting lower-paying service sector work or outmigration to larger Colorado metros. The 2015-2016 period coincided with Colorado's broader economic recovery post-recession, potentially easing transitions for some workers willing to relocate to Denver or other growth centers.

Regional Context and Comparative Significance

Colorado's broader economic story during 2015-2016 involved recovery from the Great Recession with strong growth in Front Range metros and emerging tech hubs. However, mountain communities like Western remained economically vulnerable, with employment concentrated in mining, tourism, and government services. Western's experience reflects broader Colorado patterns wherein rural extraction-dependent communities face persistent job loss while Denver and Boulder-area metros capture regional employment growth.

The scale of mining-related layoffs in Western specifically—180 workers across two operators—places the community within Colorado's long-term restructuring toward post-extractive economics. While some Colorado mining persists, the industry has fundamentally contracted in employment since its mid-20th century peak. Communities that remain dependent on mining face inevitable long-term workforce challenges regardless of short-term commodity price cycles.

The juxtaposition of mining and corrections employment in Western's economy reflects many small Colorado communities' reliance on institutions and resource extraction as primary employers. Unlike diversified regional economies that absorb sectoral shocks through employment shifts, Western faced synchronized pressure on both sectors during the 2015-2016 period. This convergence created acute local economic stress that regional growth in other Colorado areas could not offset through spillover effects or labor market integration.

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FAQ

Are there layoffs in Western, Colorado?
WARN Firehose tracks all WARN Act layoff notices filed in Western, Colorado. We currently have 4 notices on file. Data is updated daily from official state sources.
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What is the WARN Act?
The Worker Adjustment and Retraining Notification (WARN) Act requires employers with 100+ employees to provide 60 days' advance notice of mass layoffs and plant closings.