Whirlpool to cut 5,000 jobs, close Arkansas plant
28 Oct 2011
Whirlpool Corp, the world's largest appliance maker, plans to cut 5,000 jobs or about 10 per cent of its workforce in North America and Europe, and close its plant in Arkansas due to lower demand and higher costs for materials.
The Benton Harbor, Michigan-based company that makes Maytag and KitchenAid appliances will cut more than 5,000 jobs, close down its plant in Fort Smith, Arkansas, and reduce its overall manufacturing capacity by about 6 million units.
The cuts are expected to save the company $400 million by the end of 2013, said the company while releasing its third-quarter results today.
Whirlpool will also relocate its dishwasher production from Neunkirchen, Germany, to Poland in January 2012.
The company, which employs 71,000 people globally, said that the job cuts are mostly in North America and Europe, including 1,200 salaried positions, and the Fort Smith plant shutdown will affect 884 hourly workers and 90 salaried employees. An additional 800 workers were on layoff from the factory and on a recall list.