Advertisement

More layoffs are coming to Central Texas as two employers cut dozens of jobs

More layoffs are coming to Central Texas: Two employers have announced plans to cut a combined 186 jobs.

Round Rock-based nonprofit Trellis Company, a student loan guarantor that helps college students navigate higher education financing, said it will cut 105 employees.

Meanwhile, technology firm Ibase Operations Corp. said it will eliminate 81 employees at a client's facility at 7700 Parmer Lane in Northwest Austin.

The layoffs were reported by Trellis and iBase in WARN letters sent to the Texas Workforce Commission. A WARN letter, which stands for Worker Adjustment and Retraining Notification Act, is a federally mandated notice employers must provide to state governments in the event of major layoffs.

More layoffs are coming to Central Texas, according to WARN letters sent to the Texas Workforce Commission. A total of 181 jobs in Williamson County will be cut by two employers.
More layoffs are coming to Central Texas, according to WARN letters sent to the Texas Workforce Commission. A total of 181 jobs in Williamson County will be cut by two employers.

Why is Trellis reducing its workforce?

Trellis informed the state in a March 9 letter about next month's planned layoffs. According to the letter, the reductions will take place April 4 at its location at 301 Sundance Parkway. The affected employees will include some remote workers who are associated with the office, the letter said.

ADVERTISEMENT

Last year, Trellis was named as one of the Top Workplaces of Greater Austin by the American-Statesman. At that time, the nonprofit said it had 334 U.S. employees. That means the planned layoffs will account for close to one-third of its staff.

More: Austin's job market is confusing. Here's what to know.

According to the Statesman profile, the company has assisted college students for more than 40 years, providing information and services related to applying for, securing and repaying federal student loans.

"A diverse organization, Trellis has a passion for supporting minority serving institutions including historically Black colleges and universities and Hispanic serving institutions," the nonprofit said. "As a part of the company’s service to these schools, Trellis provides vital consulting, financial education and counseling, research, program development, and emergency grant services that help underserved students reach their higher education goals."

In the WARN letter, Linda Hackleman, Trellis vice president of human resources, said the layoffs were spurred by the loss of a U.S. government contract.

"Our understanding is that this is likely due to the federal agency's desire to realize certain cost savings," Hackleman said. "The result is that the prime contractor no longer needs Trellis' services."