ArvinMeritor may outsource machining, relocate assembly operations

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ArvinMeritor Inc. on Tuesday, April 21, announced it is considering outsourcing its machining operations and moving its assembly operations currently located in Carrollton, Ky., to other facilities in Kentucky and Ohio.

The company says it met with union officials of the United Auto Workers Local 1813 to discuss the plans, which will impact about 49 hourly positions. A final decision will be made following further discussions with the union.

“We are focused on reducing costs and maximizing capacity across the commercial vehicle business,” says Wayne Watson, general manager of North American operations for ArvinMeritor, based in Troy, Mich. “This reflects another step we are taking to reduce fixed costs in response to significantly lower vehicle production volumes.”

The company will continue to operate a casting center, which also is located at the Carrollton facility.