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Cat cuts continue

A SERIES of rolling layoffs at some Caterpillar production facilities near its Peoria headquarter...

Donna Schmidt

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United Auto Workers Local 974 executive vice-president Randy Smith, the leader of the union representing the company’s hourly crews, told the Journal Star the layoffs that started in January would likely go on until May.

“We thought things might turn around by April, but it doesn't look like they are," he said.

“We've heard that the whole operation in East Peoria is likely to be closed for a couple of weeks in late March and early April.”

Smith did not have any figures on how many workers would be impacted.

One unnamed worker also told the paper that he would be off for eight weeks from his post at Cat’s Building LL in East Peoria, a full month starting this week and then another month starting May 13.

Some, he added, could be off for up to 10 weeks.

Caterpillar spokesman Jim Dugan also did not provide any numbers of total affected employees.

“We continue to take actions to bring our production in line with demand,” he told the Journal Star. “This includes some short-term, temporary layoffs and other actions.

“These actions vary from location to location, but impact both production and support and management employees. We know this is difficult for our employees, but we are taking steps to position the company for long-term success.”

The company alluded to the potential for changes in its whole-year 2012 financials report, indicating projected production issues in the first half of this year due in part to continued problems in the global market, particularly Europe and China.

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