Raybestos to cease conventional automotive assembly in Crawfordsville

By Maria J. Flora, The Review Journal Editor

Raybestos, with 595 employees, will cease conventional automotive assembly in Crawfordsville.

Its parent company, Raytech Corp., said in a press release Wednesday it will relocate assembly operations from Crawfordsville to an unnamed, more cost competitive locale.

The decision came after the Crawfordsville plant’s union voted not to open the existing union contract to negotiate a matching cost savings anticipated by moving the company, according to the press release. The contract was due to expire in May.

Rabestos will begin immediate negotiations with union representatives on a transition benefits package for employees who will be displaced. Raybestos employs 491 union workers and 104 salaried workers.

Raybestos in October announced it would lay off a third of its employees to improve profitability. The reduction was to take place in stages, said Brian Saunders, material manager and part of the company’s negotiating team.

Raytech also announced upcoming discussions with union representatives in Crawfordsville on ways to “improve the plant’s productivity and profitability, including relocating certain of the remaining Crawfordsville operations to other more cost competitive locations or finding ways to match such cost savings benefits in the Crawfordsville location.”

Raybestos is a worldwide manufacturer of wet and dry clutch, power transmission and brake systems, along with related specialty products. Raybestos Products Co. in 2004 moved its world headquarters to Crawfordsville from Shelton, Conn.

Company officials have not announced where the company will re-locate.

Copyright 2005, The Journal Review