A Dallas, Texas-based trucking company will be laying off hundreds of workers as they permanently cease operations in their tanker division.
Stevens Tanker Division, which is part of Stevens Transport, will permanently cease all business operations on or before October 15, according to documents submitted to the Texas Workforce Commission. All of the division’s employees are being laid off permanently.
The layoffs will impact 586 employees across the state of Texas. The largest job loss is at the Stockdale location, where 376 are employed. Seventy-one workers are being laid off at the Dallas headquarters. Dozens of workers at the Pleasanton, Bryan, Bridgeport, Cresson, Dilley, Waelder, and Asherton sites are also impacted by the layoffs.
In a letter issued to employees by Stevens Tanker Division Vice President Scott Mellman on September 27, the company explains the reasons for the sudden closure:
As we all know, the oil and gas industry is volatile and the commodity we help bring to market has steep rises and falls as to its value. Since December 2018, the oil and gas industry has seen a steep decline in drilling and completions activity. The general decline in the industry has taken a terrible toll on Stevens Tanker Division. Despite your great sacrifice and commitment, it is with deep regret that I must notify you that Stevens Tanker Division will cease all operations on Tuesday, October 15, 2019. This will be a permanent closure of all Stevens Tanker Division business in all locations and in all divisions.
The final decision to close was the result of unforseen business developments over which Stevens Tanker Division had no control, including a 65% reduction in sand orders starting on September 20, 2019 and continual loss of production water due to customers’ increased use of piping. The expected date for Sand Drivers separation will be October 15, 2019 but may be earlier due to business volume. Stevens Tanker Division thanks you for your dedication and hard work over the seven years it has been in business.
Stevens Tanker Division provided energy services to Texas, Oklahoma, Louisiana, and New Mexico.