Winston-Salem City Manager Lee Garrity said in an email that two city employees are dead and two people are injured.
He said the wounded have serious but not life-threatening injuries.
Sanitation worker Dwight Black, 66, was running five minutes late when he parked his car at the facility. He said he was about to swipe his card to enter the building when people ran past him.
"They're shooting. Run!' Black said of the people leaving the building. "Fight or flight. I just followed suit."
Black ran back to his car and said other people did the same and drove off. He said he just stood back and watched until police arrived.
Black said he was "kind of numb" after the shooting. "Everybody was devastated," he said. "Tough day."
Numerous police cars were on the scene in the late morning.
Workers in the reflective gear worn by city sanitation workers were seen standing in a parking lot talking to each other.
The scene outside the building appeared calm.
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