Bethany Tabb, Courier-Times Staff Writer
Only a small number of employees are left at Allegheny Ludlum Corp. after 26 more people were laid off effective Dec. 21.
This week's layoff brings the total since August to 115 out-of-work employees. That's cut from the 167 employees listed at the plant earlier this year.
The company sent a Worker Adjustment and Retraining Notification Act notice to Work One Eastern Indiana on Tuesday morning. Employers of more than 100 people are required by federal law to provide 60 days notice in cases of plant closings or mass layoffs.
A press release stated that layoffs for hourly employees are considered temporary, lasting six months or more. But the terminated supervisors will not be rehired, it stated.
At the start of 2008, Allegheny was listed among the 10 largest employers of Henry County. According to the press release, the New Castle plant was operating near its normal capacity in August.
But only a few weeks later, it received less customer orders, and business dropped dramatically. Those economic conditions were stated as the cause of this year's layoffs.
Customer orders for stainless steel sheet dropped 50 percent below the company's business plan during this year's fourth quarter, the press release stated. Appliance shipments were also down 40 percent in the second half of 2008 from the first half of the year.
About 111 hourly employees were laid off from Aug. 10 to Dec. 21. Four supervisors on salary were also terminated, and the company rescinded all job offers.
The company couldn't give the usual 60-day notice because of "unforeseeable business circumstances," the press release stated.
A message left for Dan Greenfield, corporate spokesperson, by The Courier-Times was not immediately returned Tuesday afternoon. Phone calls to the United Steelworkers Local 8535 were not answered on Tuesday.
Allegheny, 516 W. Ind. 38, manufactures stainless steel plates for the Pennsylvania-based company.
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