ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Wednesday, September 18, 1996 TAG: 9609180118
SECTION: BUSINESS PAGE: B-8 EDITION: METRO
SOURCE: JEFF STURGEON STAFF WRITER
Yokohama Tire Corp. on Tuesday announced its second layoff in two months. The company will cut 80 more employees. Forty-four learned last month they will be let go.
The company said it must shrink its payroll quickly to slow production and manage a glut of tires. Spokeswoman Kelly Teenor said she couldn't make any predictions. More layoffs are possible, or employees could be called back.
"Our goal is this [second layoff] is short-term and just temporary and we can bring the employees back," Teenor said. "The market conditions will dictate our future activity."
Employees will be cut based on seniority, with the most recently hired going first. Affected workers will learn their fates today and Thursday.
The plant, which produces tires for passenger cars and light trucks, will have 925 employees after the second round of layoffs, which will conclude by Nov. 1.
"In this highly competitive, global marketplace, businesses around the world must constantly balance customer demand for product with effective and timely production and distribution," said Dan Hunter, vice president of marketing for the California-based company. Yokohama Tire is a unit of Yokohama Rubber Co. Ltd. of Tokyo.
Yokohama "along with other tire manufacturers here in the United States are taking similar steps in order to remain competitive and responsive to customers' needs," he said.
In addition to laying off employees, Yokohama has trimmed production by 15 days this year using short-term plant shutdowns.
Yokohama said earlier another problem faces the Salem plant: the loss of a major customer, PriceCostco, an Issaquah, Wash., operator of 264 warehouse-style general merchandise stores which will reduce its tire purchases during the next two years.
LENGTH: Short : 43 lines KEYWORDS: JOBCHEKby CNB