Timken To Close Canton Bearing Manufacturing Plants
Production To Be Shifted To Other Plants
UPDATED: 12:29 pm EDT May 14,
2004
CANTON, Ohio -- The Timken Co. announced Friday that it will close its Canton bearing manufacturing operations, affecting 1,300 jobs.
The company expects most of the production to be shifted to its
other U.S. plants.
Timken employs 4,800 in Stark County and approximately
26,000 worldwide. The Canton-based steel operations are unaffected by the
decision.
"We have been meeting with the union for more than eight months to discuss
how to make our bearing operations competitive in our changing global
marketplace," said James W. Griffith, president and CEO. "We are
disappointed that our talks with the union did not lead to the changes
necessary to make these facilities viable. Therefore, we will begin moving
the products to plants where they can be manufactured competitively."
The company will now meet with the union about this decision. In September 2003, the company began a series of meetings with the union and
associates in the Canton bearing operations to discuss what needed to be
done to make the plants competitive.
At that time, the company made it
clear that the Canton bearing operations could not continue to operate in
their current form. The company indicated it was willing to make the
investments necessary to create a focused, competitive operation in the
Canton bearing plants if these investments were accompanied by contract
modifications. Since then, the company and the union have been unable to
agree on the necessary changes.
Production at the Canton bearing plants has declined 27 percent over the
last five years as the cost structure of the operations made it difficult to
win new business.
The Timken Co. is a leading global manufacturer of highly engineered bearings and alloy steels and a provider
of related products and services with operations in 27 countries.
The company expects most of the production to be shifted to its
other U.S. plants.
Timken employs 4,800 in Stark County and approximately
26,000 worldwide. The Canton-based steel operations are unaffected by the
decision.
"We have been meeting with the union for more than eight months to discuss
how to make our bearing operations competitive in our changing global
marketplace," said James W. Griffith, president and CEO. "We are
disappointed that our talks with the union did not lead to the changes
necessary to make these facilities viable. Therefore, we will begin moving
the products to plants where they can be manufactured competitively."
The company will now meet with the union about this decision. In September 2003, the company began a series of meetings with the union and
associates in the Canton bearing operations to discuss what needed to be
done to make the plants competitive.
At that time, the company made it
clear that the Canton bearing operations could not continue to operate in
their current form. The company indicated it was willing to make the
investments necessary to create a focused, competitive operation in the
Canton bearing plants if these investments were accompanied by contract
modifications. Since then, the company and the union have been unable to
agree on the necessary changes.
Production at the Canton bearing plants has declined 27 percent over the
last five years as the cost structure of the operations made it difficult to
win new business.
The Timken Co. is a leading global manufacturer of highly engineered bearings and alloy steels and a provider
of related products and services with operations in 27 countries.
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