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USG
July 17, 2026

Dobrinski says state resources being mobilized after USG closure announcement

Northwest Oklahoma lawmakers say they are coordinating workforce assistance for more than 250 affected employees.

OKLAHOMA CITY — State Rep. Mike Dobrinski said Friday that state and local officials are working to connect employees affected by the planned closure of U.S. Gypsum’s Southard plant with unemployment benefits, workforce training and job placement resources.

USG announced Thursday that it will close the Blaine County facility in November, affecting more than 250 employees. The company cited increasing complexity and costs associated with mining gypsum and manufacturing the specialized products produced at the plant.

Dobrinski, R-Okeene, said he is working with Rep. Carl Newton, R-Cherokee, and Sen. Darcy Jech, R-Kingfisher, to coordinate assistance through the Oklahoma Employment Security Commission’s Oklahoma Works Rapid Response program, CareerTech centers, the Oklahoma Department of Commerce and local chambers of commerce.

“We are working to ensure these employees will have much needed resources such as state unemployment benefits, along with additional workforce training and education,” Dobrinski said.

USG, which was acquired by Germany-based Knauf Group in 2019, said affected employees will be offered severance packages, career transition services and opportunities to transfer to other company facilities. Dobrinski said he hopes many of the displaced workers will be able to remain in northwest Oklahoma.

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