Auto Parts Factory Laying Off Workers

Job cuts

Carter Fuel Systems Is Laying Off More than 80 Workers

Auto parts manufacturer, Carter Fuel Systems, has announced that the company is laying off more than 80 workers at its Logansport, Indiana factory.

The company is cutting 82 hourly wage positions, in addition to an undisclosed number of salaried positions. Carter Fuel says it has yet to decide how many of its salaried employees will be laid off.

The latest layoffs will cut the factory’s current workforce of about 263 workers to below 180 workers.

The affected employees include 52 base assembly workers and 13 base operator positions at the Logansport plant. In addition, six setup-material handling workers and three setup-operating workers will face layoffs.

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The factory is also cutting two material handling positions and two quality assurance positions, as well as one position each in four job functions including CNC setup and operation, maintenance (class A), quality assurance salvage relief, and shipping and receiving clerk.

The notice sent out to the employees suggests that the job cuts are permanent in nature, and that they will be taking place in August.

A company spokesperson has said that the company currently employs a total of 206 hourly and 57 salaried employees

The spokesperson did not explain the reason behind the layoffs. However, he pointed out that the job cuts will help the company to “better meet the current business climate”.

The layoffs follow an industry-wide decline, as auto sales dip below their 2016 highs. Auto factories across the country are seeing a slowdown in demand.

Just recently, another auto parts factory closed in Tennessee, resulting in mass layoffs. That factory was run by International Automotive Components (part of IAC Group), which manufactures auto interiors. The company also cited sluggish demand from the auto industry as the reason behind the job cuts.

Earlier this month, it was also revealed that General Motors Company is closing down various plants across the United States for a longer-than-expected summer break. The company is facing a glut of unsold cars in its inventory, and has decided to cut back on production.

Both of the biggest two American automakers, General Motors and Ford Motor Company, have announced thousands of layoffs since the beginning of this year.

The latest round of layoffs at Carter Fuel Systems is the company’s second-biggest in the last two years. In 2015, the factory laid off more than 100 workers.

Source:

UPDATED: After being on hold, Carter Fuel layoffs to happen in August,” Pharos Tribune, June 23, 2017.

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