ESCO plant laying off 33 workers

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This article was published 01/09/2014 (3517 days ago), so information in it may no longer be current.

The ESCO Corporation has announced today that it will lay off the 33 employees at its Steinbach plant by the end of November. 

“After a peak in 2007, global demand for construction products is down 30 percent. The industry is showing signs of improvement, but unfortunately we do not see signs of a return to levels that justify continued operations in Steinbach,” said Tim Myers, president of ESCO’s Construction and Industrial Division.

The Steinbach facility opened its doors in 1986 and primarily makes rolled steel curved grader blades used most often in the construction and road maintenance industry.

Greg Foley, General Manager of Fabrication and Plate Processing for ESCO’s Construction and Industrial Division, addressed the closure with employees. 

“We are faced with a tough decision due to a loss of global business to lower-cost competitors,” said Foley in a media release. “Steinbach makes products where low cost and market access is essential. We cannot be cost-competitive when our plant is located far from customers and operating at less than half its capacity.” 

The company said they are offering enhanced separation payments, outplacement and other services to the 33 departing employees. 

In late November, ESCO will begin the decommission process whereby the manufacturing equipment will be removed for use in other plants. Afterward, the building will be returned to its owner.

ESCO, a manufacturer of engineered metal parts and components, has more than 27 manufacturing facilities and more than 50 offices across 28 countries.