Colfax Printing Company Loses Sutter Health Contract Due to Outsourcing

The Foothills community of Colfax (CA) is in a lurch after Sutter Health turned to an out-of-state business to print medical forms. Colfax Mayor Donna Barkle said GKM, a printing company, is one of the largest employers in Colfax. GKM lost it’s largest client, Sutter Health..Sutter Health is moving it’s orders to a company out of state to cut down on costs.

GKM’s HR director said there would be more layoffs. But there’s no word if the company would be closing

In 2010, GKM had 135 employees; today, there are 73.

GKM has been working with Sutter since 2000.

Read Full Article…
Source: News 10.

  • SchemerDog

    Sorry to hear about it. It’s bad news, especially for the employees of Colfax.
    But what was the client supposed to do, sacrifice the health of their business instead?
    It’s capitalism. The printing market is a diminishing market, and only the leanest printers in the best of financial shape are going to survive and prosper. Welcome to the world of printing 2013.

  • Printer

    Their is no way one print supplier can provide Sutter Health every printed document at the lowest cost. What is going to happen is the State of CA will tax dollar income and payout unemployment for the lost jobs.
    Capitalism shouldn’t be greedism but this is the trend and it is ruing our nation. The only way to stop the decline of jobs is to force through legislation that Large corporations must by a certain percentage of its products from the local area they serve. Bottom line by local and keep you community prosperous.

  • Greg Kutsch

    nowadays, eveyone is cutting costs, even if it means sending your printing out of state. that is exactly what happened to my printing company. its best to have more than just one good account.

  • Anonymous

    We have the same problem Our local hospital knows our address every 2 months when they send a letter asking us to donate to this that and the other thing – but for some reason they can’t find it to even ASK for a price! 55% of all money spent locally STAYS and is recycled locally! Lets think about the reality -if just 1 of the now unemployed pressman (or whatever) has a heart-attack or needs a kidney transplant – that hospital will by law have to treat them until they are stable – which here in NY could easily!!! cost $45,000.00 per 1 patient!! How much printing to they have to send out to save that $45,000? and truth is – it could easily be 10 or 15 of those situations over the years.

  • therealdeal

    Interviewed with GKM about 10 15 years ago when they were going strong. The owners took me to lunch and then offered employment at a wage that was substantially lower than what the going rate for pressmen at that time. What goes around comes around. Went to work for someone else willing to pay a living wage to me. Eventually bought my own print business which surprisingly has survived through these difficult times. You can’t rely on one customer and you can’t compete on cost basis alone. Anyone who does either of these is destined to fail eventually.