Sunday, November 16, 2008


ST. THOMAS -- About 140 workers at Presstran will be off work for the Christmas season because of declining orders from Ford.


And though the workers are to be recalled in January, the company is tying production at the facility to both the market and demand from its customers.

Announced last week, the temporary layoffs are to come into effect during the U.S. Thanksgiving holiday -- Nov. 27 and 28. The first day of layoff would be Dec. 1.

"We're certainly not happy with the situation. But, unfortunately, with the market volatility and the auto industry situation, we don't have any choice," said Scott Turner, executive vice-president with Cosma Structural Systems that operates Presstran and St. Thomas sister plant Formet.

About 500 workers will remain at Presstran during the layoff. The plant stamps underbodies for vehicles.

The layoffs come on the heels of another layoff at Presstran less than two months ago. In September, 100 workers went on layoff after the GM truck plant in Oshawa was shuttered.

Turner said the latest layoffs stem from a decline in demand from Ford for the manufacturing of the Ford Flex and Mustang.

"(Those vehicles) are declining in volumes and they (Ford) are readjusting their volumes at our assembly plants," he said.

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