Cummins Beginning Layoffs at Ind.-Based HQ
Layoff notices were delivered to some members of the professional staff at Columbus-based Cummins Inc. this week, affecting white-collar workers in the engine maker’s corporate headquarters for the first time since a move to trim the global workforce was announced five weeks ago.
“These things are literally happening department by department as the company works through projects and priorities,” Jon Mills, Cummins director of external communications, said Tuesday.
According to a report by The Republic, Mills said Cummins employees should know the full extent of the layoffs and who is affected by mid-December. He said there would not be external announcements each time a reduction is made.
Cummins announced Oct. 9 that it would trim 1,000 to 1,500 jobs by year’s end from its 47,000-member worldwide workforce to cope with weaker-than-expected sales and a slowdown in the world economy. The timing of that workforce announcement coincided with a revised sales forecast of $17 billion for the year, which is $1 billion lower than what was estimated in July.
Then on Oct. 17, the engine maker specified that about 150 workers — at least one-tenth of the total global workforce reduction — would be laid off from among its three southern Indiana plants, the Fuel Systems Plant in Columbus, the Columbus MidRange Engine Plant and the Seymour Engine plant. As part of that announcement, Cummins said it also expected 126 workers would be transferred to the MidRange Engine Plant.
Cummins currently has about 7,700 employees in southern Indiana.