Mortenson construction company said on Thursday it had laid off 1,500 workers at its construction school in the Gulf Coast state of Louisiana, adding that it was also closing three other schools and suspending plans to build a $400 million luxury hotel in the area.
The layoffs and closures come as Louisiana grapples with a growing number of earthquakes, including one last month that killed nearly two dozen people and injured more than 1,100.
Mortenson is building a luxury hotel and convention center in the town of Port Aransas, the site of a massive earthquake that killed dozens and caused billions of dollars of damage.
The construction company was founded in 1929 by Mortenson & Spalding.
In March, a series of earthquakes struck a large part of the Gulf coast, killing about 50 people and causing $15 billion in damage.
This time around, the state of Mississippi has said it will spend about $150 million to help pay for emergency recovery and rehabilitation costs.
“The company will be restructuring its business and restructuring its operations in the coming weeks,” the state’s tourism department said in a statement.
Lone Star Construction, which is based in Houston, said it had also laid off 400 workers.
The company has about 2,200 employees.