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Published - Friday, August 22, 2008
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TRW lays off more workers; Another 100 expecting to lose jobs within seven months

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About 40 more workers at Winona’s TRW Automotive plant will lose their jobs, and 100 more could be laid off within seven months, TRW officials announced Thursday, less than a month after eliminating more than 60 other jobs at the plant.

The move is another example of TRW exporting jobs from the Winona area to Mexico, and it means more than 200 Winona-area TRW employees may be facing unemployment.
The 40 layoffs announced Thursday eliminate salaried positions at five TRW facilities in the Winona area — three in Winona and two in Galesville, Wis., and Ettrick, Wis., a TRW spokesman said in a news release. TRW also plans to relocate more jobs from its Winona Body Control Systems division to another TRW facility in Reynosa, Mexico, a move that “could impact the employment of about 100 additional Winona-area employees over the next seven months,” the spokesman said.

Those 100 employees expect to be laid off between November and February, said Ben Hovell, spokesman for the United Auto Workers union at the plant.

TRW, which employed more than 700 at its Winona plant before the layoffs, eliminated more than 60 hourly positions from its Body

Control Systems plant in Winona earlier this month. Some of those positions were moved to the Reynosa facility, while others were eliminated entirely. About 200 TRW workers also lost their jobs when the company closed its Rushford, Minn., plant in 2006.

The recent layoffs are spurred by a continuing decline in the U.S. automotive industry, among other factors, a top TRW official said in the statement.

“This decision is not a reflection on the Winona operation or its workforce, but an action in response to our customers’ demands for reduced costs,” said Ken Kaiser, general manager of the company’s North American Body Control Systems division.

The TRW employees expected to remain after this round of layoffs are nonetheless uncertain about their long-term job security, Hovell said.

“A lot of people are angry because they have no reassurances from management,” Hovell said.

The laid-off workers will have access to expanded unemployment benefits through the Trade Adjustment Assistance program — which aids workers whose jobs are moved overseas — after Rep. Tim Walz and Sens. Amy Klobuchar and Norm Coleman lobbied for the benefits. Walz on Thursday reiterated that the layoffs underscore what he calls flaws in the North American Free Trade Agreement that make it easier for corporations to export jobs abroad.

Winona Mayor Jerry Miller, who called the layoffs “worrisome,” said he contacted Minnesota’s federal lawmakers Thursday night.

“The federal and state governments have to come up with a way of creating a more level playing field,” Miller said.

Mark Sommerhauser may be reached at (507) 453-3514 or at msommerhauser@winonadailynews.com
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abc123 wrote on Aug 27, 2008 1:55 PM:

" there were people forced to go to winona to work, lost all the benefits they had accumulated over the years in rushford and had to start from ground zero (vacation, benefits, etc) what a slap in the face for those employees that had worked for trw for almost 30 years. it's the same company why treat employees from other town factories different? "

abc123 wrote on Aug 27, 2008 1:52 PM:

" it's the union...why don't they work with everyone instead of only for the people that have been in the union forever? if the union would help negotiate a good retirement/exit pay for those people that are ready to retire then those people that were transferred to the plant from other places and are now forced to join the union and are on the bottom of the union ladder wouldn't lose their jobs. the union eats it's own young. "

lovemypa wrote on Aug 26, 2008 2:24 AM:

" my dad just lost his job at TRW. after over 30 years of service they just took his key and walked him out the door. that's it, the end. it hurts very badly inside for him and us, his family, that they did it like this. my heart goes out to my dad and his friends/co-workers that were also walked out and are still adjusting to the shock of it. i'm so sorry. i understand it's just business, not personal, but that really doesn't make it hurt any less. "

Jack Sparrow wrote on Aug 22, 2008 9:00 PM:

" Like I said, I wasn't sure if TRW was using Lean or not. However, I have seen companies that use Lean, but use it wrong. By doing that, they actually hurt their company.

Lean isn't merely a "paper shuffle", but requires actually changing the way their products are made. While employees generally don't like Lean Manufacturing, it does actually work. It can save a company, and it can save employees' jobs, even though they feel it's doing the opposite. "

sunshine1916 wrote on Aug 22, 2008 8:04 PM:

" dear MR. Sparrow, what is LEAN MANUFACTURING if not a paper shuffle? I have seen the womders it has done in some of the TRW Midwest plants !!!!!!!!!!!!!!!! "

Jack Sparrow wrote on Aug 22, 2008 6:27 PM:

" It looks to me like TRW might finally be embracing the Lean Manufacturing concept, and eliminating unnecessary jobs. I haven't been in the facility before, but I'm willing to bet that they could have easily cut half their workers and kept the same production speed through the use of Lean. Had TRW done that in the first place, they would have been able to afford to keep the jobs in the US and still sell their product to the auto makers. They may have already been using some parts of Lean Manufacturing, but if they were they must not have been doing it right. "

Jack Sparrow wrote on Aug 22, 2008 6:20 PM:

" It's just the way the automotive industry works. They know that eliminating a couple hundred jobs in the US and creating twice that number of jobs in Mexico still makes them more money. They know that they can still sell their vehicles, whether those couple hundred Americans have jobs in the industry or not. These companies understand that even though they eliminate American jobs, the people whose jobs were cut can find other places to work. These TRW employees will find other places to work in Winona. Right across the road, Thern is expanding and will likely hire another 40 to 50 workers over the next year, and that's just one example in Winona. There ARE places for these people to go. "

homey_girl wrote on Aug 22, 2008 2:18 PM:

" Do you think they will need managers here when the jobs are in Mexico? The workers in Winona made about $10 an hour. The union workers in Detroit make about $35. The average yearly salary in Mexico is $6000. Even the management who wants this because it's cheaper will end up having no one to manage unless they go down to Mexico. Some day I will be able to say, "I told you so." "

homey_girl wrote on Aug 22, 2008 2:14 PM:

" Jack Sparrow - I understand they don't make cars there. They make the hvac control, ship it to Detroit and they make them. If people are losing their jobs how can they even buy a cheaper car in the US when there are no jobs here. Not everyone can work in management/medical/service industry. DAH! "

Jack Sparrow wrote on Aug 22, 2008 2:02 PM:

" These job aren't going to Mexico to make parts for Mexican cars, they're going there to make CHEAPER parts for AMERICAN cars. That's how things work people. Mexicans work for a lot less, so you can have 2 Mexicans do the work that one American does, and get the same results while making more money.

Simply put, it is cheaper to have a Mexican do the work for less and ship the parts back to the US than it is to make them here. It's called business sense, and if you're not good at it, your company simply won't survive any more. "

rollingstonemama wrote on Aug 22, 2008 12:38 PM:

" I agree nobody here will have the money to buy a car but yet I blame the union also they sure did not stop any of this from happening nor did they warn anyone!I hope they close now instead of waiting and lingering! That to me is bull! At their MERCY! Let it happen and let it be now when we are younger so we can TRY to get a fair job! "

homey_girl wrote on Aug 22, 2008 11:14 AM:

" Well they best keep the cars down there after they manufacture them because no one will have a job here to buy one. "

fishnuts2 wrote on Aug 22, 2008 10:42 AM:

" And we are to believe that the Mexican car market is larger than the US market? Surely all these new jobs down there will create a swell in demand for US branded cars. NAFTA ugh is right! I can't figure out why both political parties backed signing it. "

sunshine1916 wrote on Aug 22, 2008 10:38 AM:

" Maybe now that some of the hidden secrets are out ,(exz. black tie is NOT going to Mexico) just maybe we as employees can get the fairness and respect we so long ago lost to this world wide corporation.Just maybe the mangement that made the cut his round, will now havce a reality check and begin to be human again . After all we are all sinking on the same ship. so just maybe for the last year or two we can come to work and be happy and friendly.... I know that is a BIG JUST MAYBE.... "

The Donald wrote on Aug 22, 2008 6:12 AM:

" I just read that 'Detroit' (GM,Ford,Chrysler) is planning to ask for a government bailout sometime after Labor Day. Pretty hard for the politicians to resist, being so close to the elections. Of course, TRW seems to have figured out how to remain profitable already and won't need help with job retention strings attached. "

rollingstonemama wrote on Aug 22, 2008 2:10 AM:

" Yeah we knew this was going to happen. Oh well, just have to figure out WHAT jobs will stay here and not go elsewhere. Medical jobs, I guess restaurants as we have to eat, well we will just have to think a bit and then go back to school and hope that what we go for STAYS in AMERICA!
NAFTA UGH! "


The comments above are from readers. In no way do they represent the views of the Winona Daily News.

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