Michigan delivery van manufacturer Morgan Olson expects to create more than 700 jobs at a new plant in southern Virginia, state officials announced Friday.
Gov. Ralph Northam’s office said the company will invest nearly $58 million in the facility, formerly Ikea’s lone North American factory, outside Danville, Virginia. The Ikea facility was originally slated to close in December; its approximately 300 workers will receive priority consideration for the new jobs at Morgan Olson.
The maker of aluminum step vans is set to become Pittsylvania County’s largest employer.
“Not only will Morgan Olson ensure the future of this plant for many years to come, they will also provide valuable new jobs to hundreds of hard-working citizens of this region,” Northam said in a statement.
Step vans are often used by parcel delivery companies, but Morgan Olson officials noted the company also supplies food distributors, uniform and textile companies, and local government fleets. The company, a subsidiary of Houston conglomerate J.B. Poindexter & Co., will mark its fourth expansion in six years with the Danville plant.
“We’ve been very fortunate with capturing large orders from major parcel package delivery companies,” President and CEO Mike Ownbey said in the announcement.
Morgan Olson is eligible for numerous state grants and tax benefits, as well as state support for job training through the state’s Virginia Talent Accelerator Program.
