Wednesday, September 27, 2006

Employees told Briggs & Stratton will lay off more than 200 workers


Employees told Briggs & Stratton will lay off more than 200 workers

By Jaime Baranyai - Staff Writer
Published: Monday, September 25, 2006 8:55 AM CDT
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The rumors are true -- more than 200 Briggs & Stratton employees will be laid off in November.

The layoffs are expected to affect roughly 215 employees on Nov. 28, 2006. Those who are laid off cannot expect to get their jobs back -- the layoffs are permanent.

Many employees who suspected the layoffs were coming are angry they weren’t told sooner.


“I’m angry. I’m angry and I’m very upset,” said an employee who wished to remain anonymous. “They knew this was coming and I’m upset they didn’t tell us before now.”

A letter to all employees states the layoff is a direct result of the seasonality of the business.

“We are feeling the effects of a lack of ‘storm’ related business reducing generator engine shipments, compounded by a lack of demand for snow thrower engines due to weather conditions this past winter,” the letter reads.



It goes on to say that lawn mower engine shipments are being affected by softer demand for lawn and garden equipment and efforts by retailers to maintain reasonable inventory levels in the distribution channels at the end of the selling season. It says this is consistent with industry forecasts that indicated shipments of mowing equipment by original equipment manufacturers would be down for the 2006 season.

An internal communication dated Sept. 19 states that because of this drop in demand, there is an ongoing study to determine the feasibility of building other products beside engines at the Rolla facility.

“This study will take several weeks to complete,” the communication states. “This does not mean the plant is closing. It could mean that building engines may or may not be in our long-range plan.”



But there are some employees who fear the plant will close within the next year, or even sooner.

“That’s still a rumor at this point, but there’s already a Briggs & Stratton plant in China and there’s another one being built in the Czech Republic,” said an employee who wished to remain anonymous. “Everything I know leads me to believe this plant will be closed by the next fiscal year, which begins July 1, 2007.”

The internal communication reveals the manufacture of horizontal cylinders at the Rolla plant could be moved to China.



“The product line could be going somewhere,” the document states. “Some could go to China and some to Auburn, Alabama.”

A 250,000 engine order has also been canceled, according to an employee who received notice he would be laid off in November. He added that Briggs & Stratton will no longer be product suppliers of Lowes and Wal-Mart stores.

“If this place shuts down, it’s going to kill the Rolla economy,” he said.



His advice to all employees at Briggs & Stratton, whether they’re facing a layoff in November or not, is to start looking for other jobs as soon as possible.

“Even if it’s not you in November, it could be you later on down the line,” he said. “I doubt the plant will be here very much longer. My advice is to start your job search. I’m going to start mine today at 3 o’clock when I get home.”

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