By David Bauerlein, The Times-Union

The economic downturn is hitting the factory floor in Northeast Florida.

In the past month, five manufacturing companies have announced layoffs affecting 639 workers. The latest notice came this week from United States Gypsum for its Jacksonville plant.

Faced with mounting job losses, WorkSource has begun talks with the First Coast Manufacturers Association about creating a program in which companies with job openings would share that information with businesses laying off workers. WorkSource, a state agency, is still fleshing out the idea, but the goal will be to make it easier for manufacturers to assist laid-off workers in their job hunts, spokeswoman Candace Moody said.

A state employment report released Friday showed 30,900 people worked in October in the manufacturing sector in the Jacksonville metropolitan area. Manufacturing jobs were down by 800 jobs, a decline of 2.5 percent, compared to October 2007. The job picture for manufacturers is worse than the region's overall 1.5 percent loss of jobs. The upcoming layoffs, which will mostly occur by the end of the year, will worsen the blow in manufacturing.

Lad Daniels, president of the First Coast Manufacturers Association, said he expects the jobs will eventually return because many manufacturers are mothballing operations, not selling their facilities. He said manufacturers across the board have frozen plans for spending on equipment and expansion in 2009 while waiting for orders to revive.

One company that's closing for good in Northeast Florida is Luhrs Corp. It notified the state it will lay off 169 workers by Jan. 1 at its St. Augustine boat manufacturing plant, part of a consolidation by Luhrs to a plant in New Jersey. The company has put its St. Augustine waterfront property up for sale. Luhrs has a 300,000-square-foot manufacturing building, but there's no guarantee the new owner will be in the boat-building business.

"Unfortunately,boat manufacturers around the world are struggling, so we just don't know," said Jim Krueger, vice president of sales and marketing for Luhrs.

Other companies are in hibernation mode. CertainTeed Gypsum, based in Pennsylvania, said it will suspend operations at its Jacksonville wallboard plant. In a similar move, United States Gypsum, headquartered in Chicago, has scaled back production and employment at its wallboard plant in Jacksonville. Both companies depend on new home construction to fuel orders for wallboard.

Atrium Companies, based in Dallas, announced in August it will stop making doors and windows at its Jacksonville plant and lay off 131 workers.

The company will sublease the space it had used for manufacturing operations in Jacksonville.

Mark Gallant, vice president of corporate marketing, said the company ultimately wants to resume production in Florida.

david.bauerlein@jacksonville. com, (904) 359-4581