Caterpillar straying from Illinois

ChicagoBusiness.com ^ | June 15, 2009

[Oldeconomybuyer]

Caterpillar Inc. is emptying out its Illinois factories at the fastest rate in a quarter-century as it copes with a wrenching drop in global demand by accelerating a shift to producing equipment in lower-cost locales. After the latest cutbacks, which have been playing out in recent weeks, the number of United Auto Workers members on the job at Caterpillar's factory near Aurora is expected to be down by nearly half, to about 1,100, says Local 145 President Mark Patton. Plants in Pontiac and Decatur are expected to see equal drops, union leaders estimate. And at plants in the company's hometown of Peoria, union employment will be down by a third to 4,400.

Another 600 workers in Decatur could lose their jobs building road graders when Caterpillar opens a plant in North Little Rock, Ark., later this year, and Peoria could lose as many as 800 jobs to a new engine-assembly plant near San Antonio.

The impact will be devastating in those Illinois communities, where the big-rig maker is one of the few major employers. Unemployment in Pontiac and Decatur is approaching 11%, compared with 9.3% statewide.

[Repeal The 17th]

“...engine plant here in Indiana...”
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Where at?

[TruthBeforeAll]

Probably Lafayette. The machine shop I work for in Peoria makes parts for Cat. We used to ship a lot of them to Lafayette. Unfortunately we are in the middle of a two week shut down with rumors of a 30% reduction in our workforce come July 15th.

[nascarnation]

Lafayette, In
BIG diesels and nat gas engines

[SanFranDan]

Sorry you got laid off!

[baltoga]

OMG (Obama Made a Gaffe), great catch.