Latest Automotive News

Subscribe in a reader

Upstate auto parts plant may lay off more than half its workers

Email   small font medium font large font


New Process Gear, a company owned by Canadian auto parts giant Magna International Inc. (TSX:MG.A), plans to lay off more than 1,650 workers at its suburban Syracuse, N.Y. plant over the next several weeks, according to union officials.

More than 300 other workers were laid off Jan. two as United Auto Workers officials continue negotiating a new contract with Magna, NPG's parent company. Before the layoffs, the plant employed about 2,700 people making transmission parts.

A UAW handbill distributed Wednesday said there would be 96 more layoffs this week, 1,123 next week and 437 the week of Jan. 28. The announcement said workers should contact their union representative or supervisor about the length of their layoff.

The handbill said in bold capital letters: ``WE ARE SIMPLY FIGHTING FOR OUR SURVIVAL!''

Neither UAW nor company officials would comment in detail on the negotiations or the layoffs.

``I will not comment on this issue because, (as you know), we are still going through negotiations, and it would be premature for me comment,'' said Magna spokeswoman Tracy Fuerst.

But she said job cuts are needed because of slack demand from customers.

``We have to get a good agreement for the plant,'' said UAW Local 624 President Doug Havens. That agreement must include more investment in the facility, Havens said.

NPG was formerly owned by DaimlerChrysler, which targeted New Process Gear for closing during national auto contract talks in 2003. Instead, DaimlerChrysler sold a majority of the plant to Magna. DaimlerChrysler got the union's blessing for the deal by promising to pay workers then at New Process Gear through 2011.

Magna promised to invest US$75 million in the plant when it bought NPG, but workers said they see little evidence of that. Magna has told the union it cannot afford to keep NPG open with its current cost structure and it planned to close the plant. The union has persuaded the company to keep negotiating.

Receive the latest automotive news by email!

Enter your email address:

Related news
New Process Gear, a transmission parts maker owned by Canadian-based Magna International Inc. (TSX:MG.A), plans to lay off about 1,650 workers at its suburban Syracuse plant, union officials say. More than 300 other employees ...
The fate of a tentative labour agreement at Chrysler LLC remained uncertain Sunday after two large United Auto Workers locals representing about 4,500 of the union's 45,000 members at the automaker split over ...
Workers at three more United Auto Workers local unions have rejected a tentative contract agreement between the national union and Chrysler LLC, casting doubt on whether the deal will be ratified. Members at locals ...
Local union leaders voted overwhelmingly Monday to recommend approval of a tentative four-year agreement between the United Auto Workers and Chrysler LLC, paving the way for a vote by members, UAW president Ron ...
SPRING HILL, Tenn. (AP) _ General Motors Corp. announced Thursday that its plant in Spring Hill, which has built Saturn models for nearly 17 years, will be building a new ...
Chrysler LLC began laying off thousands of salaried workers Wednesday as part of an effort to slash costs in the company's new era of private ownership, a spokesman said. The cuts won't end ...
For more than 7 decades, NAPA auto parts have been recognize as quality leaders among the automotive parts and repair industry. In addition to competitive values, high quality ...
TOKYO (AP) _ A key Japanese auto parts supplier partially resumed operation Monday, a week after a major earthquake ravaged its production line but top carmaker Toyota said it will keep its ...
Delphi Corp.  filed a report showing that the auto-parts maker's monthly losses grew in September to US$673 million from $508 million in August. The Troy, Mich.-based company is working to ...

Best Investment Newsletter

- 46% in 2008

- invest in the best performing US stocks only and sell them when the uptrend is over

- very easy to follow, simple buy/sell signals

- no need to have investing or trading experience

Find More Now!

Upstate auto parts plant may lay off more than half its workers
> © 2006-2017 except where otherwise noted