Sources tell KHQA 158 people affected
Read more: Local, Economy, Knapheide, Layoffs, Truck Parts, Economy
QUINCY, Ill. - One of Quincy's largest and oldest employers is laying off some workers.
KHQA received a news release from Knapheide Manufacturing, confirming information we had learned, that the company will reduce its workforce starting March 30th.
The company would not give specific numbers, but we've been told by other sources that 158 workers will be laid off.
And we're told most, if not all, of the layoffs will come from Knapheide's main manufacturing facility off of north 24th Street in Quincy.
Here's the reason:
The construction industry is Knapheide's primary customer base.
With fewer houses being built and less credit to buy work trucks, plus the decline in the auto industry, Knapheide's production has dropped.
We've also been told that at least some employees anticipated up to 250 layoffs...they just didn't know the exact number or when they would happen.
And we've been told there's still the possibility of 25 to 30 more layoffs next month between Knapheide's facility in West Quincy and its equipment company near Quincy's National Guard armory.
You'll recall Knapheide announced in January it had signed on with a Chicago-area company to help build parts for hundreds of military trucks.
Sources tell us that deal was not enough to counteract the downturn in the economy right now.
The following infomation was received via news release from The Knapheide Manufacturing Company:
The Knapheide Manufacturing Company, the nation's leading utility body manufacturer, announced today that it will reduce its work force starting March 30 in order to align production with reduced market demand.
This reduction is a result of the instability of the construction industry, Knapheide's primary customer base.
Factors of this instability include plummeting housing starts and the lack of available credit with which they purchase capital equipment, such as work trucks.
These conditions coupled with the 50% decline of vehicle sales in the auto industry have resulted in the decrease in Knapheide's production.
The Knapheide Manufacturing Caompny is a full-line, full-service commercial vehicle body manufacturer that has been in business since 1848.
Our vast distribution network allows Knapheide to offer unique and timely solutions for customers.
End-user inspired products include Service Bodies, KUV (R), platforms, landscapers, crane bodies, line bodies and custom configurations for specific needs.
More information can be found at www.knapheide.com.
