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Whirlpool announces job cuts
- May 10, 2006
- News Release
- Shop Management
Whirlpool Corp. today announced a series of changes within its North American organization relating to the integration of Maytag operations. Locations affected by the changes include three manufacturing sites, the former Maytag corporate headquarters and a research and development center in Newton, Iowa, and administrative offices in Illinois, Canada and Mexico.
Approximately 4,500 positions will be eliminated as a result of the changes. Moving forward, about 1,500 new positions also will be created at other Whirlpool locations, resulting in a net total elimination of 3,000 positions when all changes have been completed. Details on the number and location of new positions created at other Whirlpool locations will be announced in the near future.
Today's announcement includes plans to consolidate laundry washer and dryer production from Maytag manufacturing sites in Newton, Iowa; Herrin, Illinois and Searcy, Arkansas with Whirlpool laundry factories in Clyde and Marion, Ohio. The changes follow an extensive review of Maytag operations by Whirlpool, and the company's commitment to quickly communicate any operational decisions to clarify employee status moving forward.
The company said it currently plans no further manufacturing facility closures related to the Maytag integration process, though it will continue to aggressively pursue ongoing productivity improvements across its global operating platform. At the same time, it will continue to evaluate strategic options for, including the potential sale of, the Hoover floor-care and the Dixie-Narco, Amana commercial microwave and Jade commercial appliance businesses.
Maytag administrative offices will be consolidated in the United States—from Newton, Iowa to Benton Harbor, Mich. and other Whirlpool locations; in Canada—from Burlington to Mississauga; and in Monterrey, Mexico where both companies have offices. The Newton-based research and development center, and the administrative office of Maytag International, based in Schaumburg, Ill., also will be closed.
Approximately 1,800 salaried positions, included in the 4,500 affected positions, will be eliminated as a result of these changes. Several hundred salaried employees from the affected administrative offices are expected to be offered jobs in other Whirlpool locations.
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