By Lewis Loflin
I grew up in Norton, Virginia, in Wise County, and have lived in Bristol, Virginia, since 1984, witnessing the economic decline of Southwest Virginia firsthand. In 2019, Morgan Griffith celebrated Volvo Trucks’ announcement of 777 new jobs and a $400 million investment in its Pulaski County plant, claiming it as a win for the region. But Volvo’s hire-and-fire practices, coupled with the crony capitalism Griffith supports, fail to address the region’s high poverty rates and economic decline, leaving Southwest Virginia struggling economically.
In June 2019, Morgan Griffith touted Volvo Trucks’ expansion in Dublin, Pulaski County, as bringing 777 new jobs and a $400 million investment, calling it one of the largest capital investments in Southwest Virginia’s history. But this claim is misleading. Volvo’s history at the New River Valley plant is a cycle of hiring and firing, not genuine job growth.
The Roanoke Times reported on January 16, 2017, that since 1990, the plant has announced at least 14 rounds of layoffs, including 734 workers in 2015, 500 in 2016, and more expected by the end of 2019 despite the expansion announcement. Employment fluctuated wildly:
These “new jobs” are often rehires of the same workers, not net growth. UAW Local 2069 noted that Volvo would need to hire nearly 1,500 to meet the 777-job promise after accounting for layoffs, a target unmet by 2025.
Despite Volvo being Pulaski County’s largest employer, the county struggles with high poverty. In 2023, Pulaski County’s poverty rate was 16.8%, above Virginia’s 10.2%, according to the U.S. Census Bureau. Additionally, 45% of households were either in poverty or ALICE (Asset Limited, Income Constrained, Employed), unable to afford basics, as I’ve detailed in my ALICE analysis.
Volvo’s hire-and-fire cycle contributes to this economic hardship. While the plant offers wages over $20 per hour, the constant layoffs create job insecurity, disrupting workers’ finances and pushing them into poverty. The 2021 UAW strike at Volvo, where 3,000 workers were temporarily laid off, highlighted demands for better wages and job security, reflecting the precarious nature of employment.
Pulaski County’s population has also declined, from 34,872 in 2010 to 33,623 by 2023—a 3.6% drop—mirroring losses across Southwest Virginia, such as Buchanan (-12.5%) and Wise (-7.9%). This decline reflects a lack of sustained economic opportunity, as young people leave for better prospects elsewhere, a trend Volvo’s presence has failed to reverse.
Volvo’s cyclical employment isn’t the only issue. Pulaski County relies heavily on manufacturing, with Volvo as the backbone, alongside other firms like GALA North America and Phoenix Packaging. But the lack of economic diversification leaves the region vulnerable.
When Volvo lays off workers, as it did in 2015, 2016, 2019, 2021, and 2025, there are few alternative high-wage jobs. The Tri-Cities region lost 54,795 jobs from 2009 to 2018, and the labor force shrank from 243,000 in 2008 to 218,000 by January 2025. Pulaski County’s unemployment rate rose to 4.3% in January 2025, above Virginia’s 3.2%. Low-wage jobs dominate the region, with many lacking benefits, as I’ve noted in my ALICE analysis, where over 50% of Southwest Virginia households struggle to afford basics.
Griffith’s celebration of Volvo’s expansion ignores these realities. Volvo received $16.5 million in state incentives for the 2019 expansion, part of the crony capitalism I’ve criticized, where pro-business Republicans like Griffith hide behind a “free market” ideology while funneling public funds to corporations.
Volvo’s failure to sustain job growth mirrors other projects, like American Merchant in Bristol, which promised 405 jobs but delivered only 50 and appears abandoned as of my 2025 visits, as detailed in my American Merchant analysis. Griffith’s support for H.R. 1044 in 2019, which increased foreign tech workers, further undermines American workers by prioritizing corporate interests, driving down wages in tech and other sectors, as I’ve discussed in my H.R. 1044 critique.
In low-wage industries like meatpacking, wages have fallen 40% since the 1970s due to immigrant labor, a trend Griffith’s policies exacerbate. While Volvo’s wages are higher, the lack of job security offsets this benefit, leaving workers vulnerable to poverty.
Griffith claims Volvo’s expansion is a boon, but the region continues to decline. Southwest Virginia’s economic struggles are stark: high poverty rates (16.8% in Pulaski County, 19.5% in Wise County), population loss, and a shrinking labor force.
| Location | Poverty Rate (2023) | ALICE + Poverty Rate |
|---|---|---|
| Pulaski County | 16.8% | 45% |
| Wise County | 19.5% | 52% |
| Bristol, VA | 20.1% | 47% |
Corporate welfare projects like Volvo’s, backed by millions in public funds, fail to address these issues, as resources are misallocated to benefit corporations rather than communities. The Bristol Herald Courier, as I’ve noted, filters facts to “protect” the public, failing to hold leaders like Griffith accountable. Griffith works for Wall Street, not Southwest Virginia, and his policies perpetuate a cycle of poverty and instability that Volvo’s hire-and-fire practices only worsen.
Acknowledgment: I’d like to thank Grok, an AI by xAI, for helping me draft and refine this article. The final edits and perspective are my own.
Section updated, added 3/30/2025
