Cat Lays Off 814 Mossville Employees

Press Release: Caterpillar Inc. (NYSE: CAT) today notified 814 production employees at its Mossville, Illinois engine assembly facility that the company would indefinitely lay off those employees. In recent months, production volumes at the Mossville engine facility have decreased significantly. This is primarily related to a decrease in orders for on-highway truck engines made in Mossville, lower demand for engines used in Caterpillar machines and decreased demand for commercial engine applications.

“These decisions are never easy, and we understand these layoffs will create challenges for many of our employees and their families,” said Gary Stroup, Caterpillar vice president with responsibility for Large Power Systems Division.

Employees impacted by this decision were notified today by Caterpillar and were told that the layoffs would begin on February 23, 2009.

9 Responses to “Cat Lays Off 814 Mossville Employees”

  1. ImaSwede Says:

    So, they aren’t just laying off contract workers? And it doesn’t mention that it is for only a month…. this isn’t good.

  2. Mazr Says:

    Apparently Chairman Owens compared now with the early 80’s. And wait till Monday, that’s when the real downsizing starts…….

  3. Cameron Says:

    Merry Christmas, right?

    I guess at least they gave em a couple months notice so they can start looking / saving.

  4. Mahkno Says:

    Owens has been better than a lot of past CEOs. According to SEC filings, sales are off. Nov ‘08 sales are down 6% from last year. That seems small but they are looking at 6 months to a year out and its bleak. A year ago they had orders booked a 2-3 years in advance. Now? Not so much.

  5. septboy Says:

    and from todays PJS- Cat Announces new plant in Texas

    http://www.pjstar.com/business/x415885869/Caterpillar-building-plant-in-Texas

  6. Mahkno Says:

    The plant in Texas was in the making long before the economy tanked. It is an unfortunate coincidence that layoffs are occurring at the same time as the announcement. San Antonio probably shouldn’t get its hopes up on 1400 jobs appearing right away either.

  7. Mahkno Says:

    Sequin… not San Antonio….

  8. Mahkno Says:

    For those getting layed off or think they are at risk…. READ:

    http://www.health.com/health/money-article/0,,20245390,00.html

  9. PeoriaIllinoisan Says:

    I don’t think this made the paper, but I was told that Cat pulled their long standing tradition of paying for employee’s continuing education. Obviously Bradley is feeling the pain from this move.

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