Shipper for GM to have layoffs
AUSTINTOWN — A company that ships automotive parts for the General Motors Assembly Complex in Lordstown plans to lay off a “significant portion” of its employees.
Comprehensive Logistics on Victoria Road is the second company this month to announce layoffs in light of the move by GM to cut third-shift production at the car plant. The layoffs are expected to happen at the hauling company Jan. 23, according to a mass layoff notice the company filed with the Ohio Department of Job and Family Services.
The number of employees affected has not been determined, but the company expects it to be a “significant portion of its workforce,” the letter states. It is unknown how many people the company employs or whether the layoffs are connected to GM’s downsizing at Lordstown.
Comprehensive Logistics will notify the state when it determines how many people will lose their jobs, the letter states.
Earlier, Lordstown Seating Systems, which provides seating for the Chevrolet Cruze, announced it will end its third shift Jan. 20, causing permanent layoffs for 83 full-time hourly and salaried employees and 32 more temporary workers at the company’s Henn Parkway SW facility
The layoffs will happen no later than Feb. 2, according to layoff notice the company filed with the state.
GM announced Nov. 9 the elimination of its third shift at the Lordstown complex, causing 1,202 hourly Lordstown workers to lose their jobs, effective Jan. 23. Forty-three salaried employees will have the option to transfer to other facilities.
More than 4,500 people work at the local plant that has made the Chevrolet Cruze exclusively since 2010.
The Detroit automaker said the move is being made to more effectively match supply with demand as customers shift from wanting smaller cars to bigger vehicles.
A spokesman for the company said projections indicate customers will continue to want crossovers, SUVs and trucks, instead of smaller cars such as the Cruze.
GM plans to also cut the third shift at its Lansing Grand River Assembly Plant in Michigan, impacting 810 hourly and 29 salaried workers, effective Jan. 16.
That plant employs 2,700 and makes the Cadillac ATS and CTS and Chevrolet Camaro.
More than 3.5 million units of the Cruze have been sold around the world since 2008, and more than 1.25 million of those have been made in Lordstown.
GM invested $250 million to retool Lordstown to manufacture the next-generation Cruze that went into production at the local plant in February.