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WC plant to cut more jobs

Electrolux cuts 150 line workers

June 6, 2009
By BILL SHEA, Messenger staff writer

WEBSTER CITY - About 150 Electrolux employees will lose their jobs later this month as the company shifts some of its washer and dryer production to Mexico.

''The final phase of production adjustments related to the transition of front load washer and companion dryers from the Electrolux Webster City laundry plant has been announced,'' company spokesman Tony Evans said in a press release issued Friday afternoon.

Evans said the layoffs will be effective June 15.

He described the layoffs as ''temporary'' and said the workers could be recalled if business conditions improved.

''Most people knew it was coming,'' said Paul Eriksen, president of United Auto Workers Local 442, which represents Electrolux workers.

He said next week will be the last week that one model of front loading washer will be made in Webster City.

Including the layoffs announced Friday, some 506 Electrolux employees have lost their jobs since November 2008.

The impact of all those layoffs is becoming apparent, according to Eriksen. He said it's obvious that there's less activity in the plant. He added that there are noticeably fewer vehicles in the parking lots.

''It's unfortunate that we are in this position, but the good news is that all the employees who lost their jobs because of the transfer to Mexico will be eligible for federal Trade Adjustment Assistance,'' said state Rep. McKinley Bailey, D-Webster City.

He said that federal program will provide unemployment benefits for one year and pay for a year's worth of schooling for laid off workers.

Bailey said Iowa Workforce Development and Iowa Central Community College are prepared to assist the former Electrolux employees.

Earlier this year, an Unemployment Survival Fair was held to give former Electrolux workers information on how how to cope without a regular paycheck. Laid-off workers can get information on assistance at the Municipal Building, 400 Second St.

Gary Sandholm, director of Webster City Area Development, said he'll be informing business prospects that Webster City now has a large number of people with industrial experience who are available to be hired.

The Electrolux plant still has about 1,000 employees, according to Sandholm..

In February 2006, company executives announced that 700 workers would be laid off in Webster City because production of the front-loading washers and dryers was being moved to Mexico.

The people who make laundry appliances aren't the only Electrolux employees losing their jobs. This year, 85 workers at the plant where central vacuum systems are made will also be laid off. Production of those vacuum systems is moving to Mexico. The related distribution work is being shifted to El Paso, Texas.

Contact Bill Shea at (515) 573-2141 or bshea@messengernews.net

 
 

 

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