Heavy-equipment giant Caterpillar Inc is pulling out of Summerville in a move that would put 280 residents out of work.
The company today said it announced to workers that it has decided to close of its remanufacturing plant next year after conducting an extensive strategic review of the business.
“Over the last few years, the company has worked to position the facility to be more competitive,” the Illinois-based company said in statement. “However, it has concluded that the Summerville facility is not viable as a long-term operation.”
The factory tears down, recycles and rebuilds heavy-duty transmissions and related components for original equipment makers, which then resell the parts to aftermarket buyers.
The plant will conduct an “orderly ramp down of production,” ahead of the scheduled mid-2014 shutdown. The decision will affect about 255 full-time employees and 25 temporary workers.
“This is not an easy decision, and we recognize this will impact our employees and their families, but after considering a number of options and alternatives, we have concluded we need to take this step,” said Greg Folley, vice president of Caterpillar’s Reman & Components Division. “In no way does this decision reflect upon our employees’ hard work and dedication. They have demonstrated tremendous efforts to produce quality products for our customers. We will work hard to ensure the impacted workers have the support they need during this time.”
Full-time Summerville employees will receive severance packages, and the company said it plans to work with agencies that provide outplacement services.
See Tuesday’s editions of The Post and Courier for more details/
Contact John McDermott at 937-5572.