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SafeSource Direct suspends operations in Lafayette Parish

SafeSource Direct halts operations, 500+ workers affected
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LAFAYETTE PARISH — SafeSource Direct announced it is suspending operations effective immediately at both of its Broussard facilities in Lafayette Parish, affecting 541 employees across Lafayette and Saint Martin parishes.

The Lafayette Economic Development Authority (LEDA) said it is coordinating with the Saint Martin Parish Economic Development Authority, the City of Broussard and the Louisiana Workforce Commission to connect displaced workers with new job opportunities. A specialty job fair is under consideration to match employees with manufacturers who can use their skills and experience.

SafeSource Direct launched in 2021 as a joint venture with Ochsner Health System. The company has played a role in the domestic personal protective equipment (PPE) supply chain but has faced challenges competing with low-cost imports from overseas manufacturers.

LEDA said SafeSource is retaining essential operations staff and hopes to restart when viable contracts are secured. Employers interested in hiring displaced workers are encouraged to contact LEDA by clicking here.

Here's LEDA's full statement:

LEDA Statement on SafeSource Direct Operations Suspension

The Lafayette Economic Development Authority (LEDA) acknowledges the announcement by SafeSource Direct that it will be suspending operations effective immediately at both of its Broussard facilities. This decision impacts 541 dedicated employees across Lafayette and St. Martin parishes.

“While we are saddened to have received this news from SafeSource executives, we are encouraged by the response from other local employers who have begun to express interest in offering opportunities to the talented individuals who will be affected. We are teaming up with the St. Martin Parish Economic Development Authority, the City of Broussard, and the Louisiana Workforce Commission to activate a robust effort to connect the displaced employees to other opportunities in the region," said LEDA CEO Mandi Mitchell. “We are also committed to continuing our support for SafeSource Direct in its efforts to level the playing field with foreign PPE manufacturers. This situation reinforces the importance of supporting domestic manufacturing capabilities, particularly in critical sectors like healthcare supplies. LEDA will continue working with federal, state, and local partners to advocate for policies that enable American manufacturers to compete fairly in global markets while maintaining the jobs and economic security our communities depend on.”

SafeSource Direct, launched in 2021 as a joint venture with Ochsner Health System, has been a vital component of our region's manufacturing landscape and America's domestic personal protective equipment (PPE) supply chain. SafeSource Direct's suspension underscores the broader challenges facing American PPE manufacturers in competing against unfair trade practices and artificially low-cost products from China, Malaysia, and other Pacific Rim countries.

The local team immediately began to mobilize resources to support the 541 displaced employees:

  • Rapid Response efforts: LEDA has already engaged with Louisiana Workforce Commission’s Rapid Response team.
  • Direct support for job connections: LEDA and the St. Martin Parish Economic Development Authority will connect displaced workers with comparable job opportunities at other local employer and previously scheduled regional job fairs. We are in discussions regarding the possibility of hosting a specialty job fair to connect SafeSource employees with local manufacturers who can utilize their specialized skills and experience.

SafeSource Direct is retaining essential operations and highly technical staff while pursuing critical discussions, demonstrating their commitment to restart operations when viable contracts are secured. LEDA remains committed to supporting SafeSource Direct’s business development efforts, especially with domestic procurement opportunities.

We encourage any employers who can utilize the workers being displaced by this suspension to contact LEDA at jobs@lafayette.org. These are skilled manufacturing workers with experience in FDA-regulated production environments, quality control, and advanced manufacturing processes.