Tuesday, October 16, 2007

KENWORTH TO LAYOFF MORE WORKERS


By LOREN GENSON
Gazette Staff Writer

More employees at Kenworth Truck Co. in Chillicothe have been notified they will lose their job at the end of the week, and a two-week shut down of plant operations is set to begin Monday.

An official number of layoffs has not been confirmed. Plant manager Scott Blue referred comments to Kathy McCloud, a spokeswoman for Kenworth's parent company PACCAR Inc. McCloud did not answer questions about the layoff and failed to return a phone call to confirm the layoff letters.

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In a letter obtained by the Chillicothe Gazette, Area Human Resources Manager Brian Putnam states the reason for layoffs.
"Due to a recent decline in the heavy-duty truck market, we have been forced to reduce our work force through layoffs," Putnam's letter states.

The Chillicothe Kenworth plant announced a first round of layoffs this winter shortly after new emissions laws took effect in 2007. The new emissions laws increased the cost for new trucks and many clients opted to buy trucks before the change.

At an investment luncheon Aug. 16, Scott Blue confirmed fall layoffs but said he hoped to hire back workers at the beginning of next year.

"We're hoping to turn it around by the first of the year, but you just can't be sure," Blue said at the luncheon.

In addition to the layoffs, a memo on the Chillicothe plant given to departing workers stated the plant would be closed Oct. 15-19, and 22-26. Additionally, the plant will be closed from Dec. 24 through Jan. 4. Four of those winter dates will be considered closures, and the others will count as paid holidays, the memo said.

Departing employees will receive 80 hours of notice pay in addition to normal separation pay, according to the memo.

(Genson can be reached at 772-9369 or via e-mail at lgenson@nncogannett.com)


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