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Changes coming at Dublin plant

DUBLIN — Unless production volume picks up, as many as 200 employees at Volvo’s Dublin plant could be laid off later this year when the company moves its Mack Trucks production to Pennsylvania.
Volvo Trucks North America and Mack Trucks announced Thursday that the Mack trucks production will be moved from Dublin to its Macugnie, Penn., plant sometime during the fourth quarter of 2008. Mack’s construction and refuse trucks already are assembled at that plant.
The move is part of a “jointly formulated” plan to increase the efficiency of its North American operations, a press release states.
John Mies, vice president of corporate communications, said the impact on New River Valley employment “will depend on production volume at the time of the transfer. If we were to make the transfer at a time when we were raising the rates in the New River Valley, it’s conceivable that it would not impact the current active workforce. We would just not recall as many laid-off employees as we would otherwise.”
“On the other hand, if we were still at today’s production volume (a total of about 80 trucks per day), at least 200 New River Valley employees would be laid off” when the transfer is made, he said.
The company intends to offer all affected employees positions in other locations, according to the press release.
The Dublin plant currently employs a little more than 1,600 workers.
The Dublin facility underwent various changes or renovations to accommodate the Mack line when it moved to Dublin. However, Mies did not say whether the changes will be of use in Volvo truck production.
Besides moving the Mack production north, plans also call for Mack headquarters to be moved from Allentown, Penn., south to Greensboro, N.C.
To implement the plan, Volvo Group would incur about $60 million in restructuring costs, which would be recorded in the second half of 2008.
In September, Mack and the United Auto Workers Union will “resume” negotiations on a new labor contract.
Mies said these negotiations pertain to the Mack contracts and do not involve the New River Valley contracts that were approved after an approximately month-long strike.

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Changes coming at Dublin plant

DUBLIN — Unless production volume picks up, as many as 200 employees at Volvo’s Dublin plant could be laid off later this year when the company moves its Mack Trucks production to Pennsylvania.
Volvo Trucks North America and Mack Trucks announced Thursday that the Mack trucks production will be moved from Dublin to its Macugnie, Penn., plant sometime during the fourth quarter of 2008. Mack’s construction and refuse trucks already are assembled at that plant.
The move is part of a “jointly formulated” plan to increase the efficiency of its North American operations, a press release states.
John Mies, vice president of corporate communications, said the impact on New River Valley employment “will depend on production volume at the time of the transfer. If we were to make the transfer at a time when we were raising the rates in the New River Valley, it’s conceivable that it would not impact the current active workforce. We would just not recall as many laid-off employees as we would otherwise.”
“On the other hand, if we were still at today’s production volume (a total of about 80 trucks per day), at least 200 New River Valley employees would be laid off” when the transfer is made, he said.
The company intends to offer all affected employees positions in other locations, according to the press release.
The Dublin plant currently employs a little more than 1,600 workers.
The Dublin facility underwent various changes or renovations to accommodate the Mack line when it moved to Dublin. However, Mies did not say whether the changes will be of use in Volvo truck production.
Besides moving the Mack production north, plans also call for Mack headquarters to be moved from Allentown, Penn., south to Greensboro, N.C.
To implement the plan, Volvo Group would incur about $60 million in restructuring costs, which would be recorded in the second half of 2008.
In September, Mack and the United Auto Workers Union will “resume” negotiations on a new labor contract.
Mies said these negotiations pertain to the Mack contracts and do not involve the New River Valley contracts that were approved after an approximately month-long strike.

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