“I don’t believe it will increase based on the information that I have right now. But it’s subject to change,” he said.
“We have not finalized numbers,” she said.
Company officials did not release which lines would be affected by the reduction. However, Blizard said the plant’s main line, which deals with medium-duty commercial trucks, will reduce the number of units it produces in a day.
Blizard said the company already reduced production on that line in August and will likely implement further changes on Monday. But, line production rates for the plant’s line two, which makes vans for
It is a move Bizard said will help offset the number of employees that will be affected by the layoffs.
Blizard said information he received from the company regarding layoffs only relates to workers represented by his chapter of the
He said layoffs will be administered based on seniority and affected workers will retain recall rights at the plant.
Blizard said for 20 employees, Friday would be their last day with the company. He said layoffs will occur at the end of each week during the rest of September.
The news comes as
They are also forecasting retail deliveries of 335,000 to 365,000 units in 2020, with heavy-duty trucks making up the majority of projected deliveries.
Clarke said industry orders for heavy duty-trucks have declined by 75 percent in the third quarter this year.
Tam said more than twice as many heavy-duty commercial trucks have been built over the last six months than orders for those trucks. He said numbers regarding the medium-duty truck market are less dramatic.
Since the beginning of the year, orders of medium-duty commercial trucks have been on average 15,000 units per month compared to the 19,000 trucks that are being produced on a monthly basis, according to data collected by
Tam said backlog orders for medium-duty trucks are declining at a much slower rate than their heavy-duty counterparts. However, he said it has caused some companies to adjust their production rates.
“When there is too much supply, as we are seeing, demand wanes. In the heavy-duty market, we have too many trucks chasing too little freight,” Tam said.
Clarke said in a conference call to investors that assembly line rates have been reduced at the company’s two truck plants.
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