Richmond Announces $1.5 Million Federal Grant for Displaced Avondale Shipyard Workers

Rep. Richmond and Sen. Landrieu requested this award, which is the largest such award from the Dept. of Commerce for a Dept. of Defense project.

Washington, DC—Congressman Cedric L. Richmond (D-LA02) announced today that the U.S. Department of Commerce awarded Louisiana an almost $1.5 million grant to assist displaced Avondale Shipyard workers find new jobs. This is the largest Department of Commerce grant ever awarded for a Department of Defense project.

The announcement comes after Congressman Richmond and Senator Mary Landrieu (D-LA), wrote Commerce Secretary Gary Locke in March, urging him to take action to ease the economic ramifications and job losses from Northrop Grumman’s planned closure of Avondale Shipyard.  Northrop Grumman recently transferred ownership of the shipyard to the newly formed HII, placing the jobs of nearly 4,000 union skilled trade workers in jeopardy.

In the grant award letter, OEA Director Patrick J. O’Brien wrote:  “I am pleased to inform you that OEA has approved a grant of $1,485,000 in community adjustment assistance to the State of Louisiana in response to the major reduction in defense industry employment in the Avondale region.” 

“The long-term economic impact of the loss of these jobs goes far beyond the immediate impact on these workers’ families,” Richmond and Landrieu wrote Locke.  “It will undoubtedly extend deep into the Gulf Coast communities that have yet to recover from the devastation caused by Hurricanes Katrina and Rita, the recent economic downturn, and last year’s BP oil spill.”

Next Tuesday, Richmond will listen to the concerns of local small businesses and workers negatively affected by the closure of Avondale Shipyard. They represent a group of 400 who wrote to President Obama urging him to respond to the closing.

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