ABERDEEN, S.D.(Aberdeen Insider)- About a year after expanding its operations in Aberdeen, Banner Engineering is closing its plant.

Employees were notified of the closure on Thursday, Feb. 29. The plant will close at the end of the year, according to a letter sent to employees.

“Given the current economic conditions and changes in business climate, Banner has determined it is necessary to consolidate our North American operations to remain competitive in the marketplace,” the letter reads.

Banner employs 311 people in Aberdeen, per the letter.

The manufacturing now done in Aberdeen will be consolidated into other plants in North America, and Aberdeen workers can apply for one of 100 open positions in Brooklyn Park, Minn., according to the letter.

Brooklyn Park is a Twin Cities suburb.

Banner anticipates that the Aberdeen layoffs will be done “on a rolling basis” throughout the next 10 months, according to the letter. The first round will begin on or within a 14-day period following April 29.

“We regret having to take this action and will work to provide the resources and tools to make this transition as successful as possible,” the letter reads.

Here’s the letter in its entirety.

While there was talk of layoffs at the Aberdeen plant late last year, the company did not confirm the news.

In March 2023, Banner announced it was closing its plant in Huron. The 150 or so employees were able to apply for open jobs in Aberdeen and Brooklyn Park.

At the time, Banner had recently completed an expansion of its Aberdeen plant from 60,000 square feet to about 120,000 square feet. More than 400 people worked in Aberdeen at the time, a Banner official said.