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Commercial Vehicle Group Inc. Plant in Shadyside to Close, Eliminating 172 Jobs – theintelligencer.net

Officials with
Commercial
Vehicle Group Inc. announced it will close its
Shadyside plant next year,
eliminating 172 jobs.

SH…….

Officials with
Commercial
Vehicle Group Inc. announced it will close its
Shadyside plant next year,
eliminating 172 jobs.

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SHADYSIDE — The Upper Ohio Valley will lose yet another industrial plant, as officials with Commercial Vehicle Group Inc. confirmed Thursday they will permanently cease stamping operations in Shadyside next year, resulting in the loss of 172 jobs.

Company leaders said the work performed at the Shadyside plant would be divided among “alternative facilities.” Officials identified Agua Prieta, Mexico as the destination for the work now performed at CVG’s Monona, Iowa plant, which will also close next year.

CVG officials said they would complete the closure at Shadyside before July 2017.

“The closure is part of the broader restructuring plan the company announced late last year to better align our manufacturing footprint and our cost structure. We appreciate the service and contributions of our Shadyside workforce and will do all we can to support their transition over the course of the next 12 months,” CVG Chief Human Resources Officer Laura Macias said.

Belmont County Commissioner Ginny Favede called the planned closure “devastating.”

“We have employees at the courthouse whose spouses work at the plant. Some of the employees there were sent home today,” Favede said Thursday. “This is shocking, heartbreaking news.”

Favede said county leaders were working Thursday to determine the tax ramifications for Belmont County and for the Shadyside Local School District.

“There will obviously be a ripple effect from losing the jobs and the taxes,” she added.

CVG Senior Vice President Dale McKillop said the company understands the closures will negatively affect the communities involved. He said there will be severance benefits offered to displaced workers, as well as opportunities for transferring to other markets.

“We understand the impact this decision will have on our employees and the communities of Monona and Shadyside where we have served as a longtime employer. Ultimately, we made the best decision we could to maximize our global capacity utilization in response to changing customer needs,” McKillop said.

The Shadyside facility performs assembly and stamping activities, while the Monoma, Iowa plant manufactures wire harnesses. The company will also close its administrative office in Wixom, Mich., later this year.

Joseph Saoud serves as president of Global Construction, Agriculture and Military Markets for CVG.

“Our employees are important to us and we will provide support for impacted personnel. However, we must strategically manage our overhead and competitive cost position in response to market conditions and customer expectations,” he said.

Belmont County officials remain hopeful  for the future, however, as the multi-billion-dollar PTT Global Chemical ethane cracker tentatively planned for construction at Dilles Bottom would lead to at least 1,000 construction jobs and hundreds of permanent jobs.

“The news for the cracker plant is so anticipated. And it is even more important to us now,” Favede said.

Mead Township Trustee Ed Good said late Thursday he had not heard the news of the pending closure, but knows it will hurt the area.

“Wow. That will be devastating,” he said.

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Source: https://www.theintelligencer.net/news/top-headlines/2016/07/commercial-vehicle-group-inc-plant-in-shadyside-to-close-eliminating-172-jobs/