The company will consolidate its two engine and transmission plants in the Milwaukee metro area into its facility in Menomonee Falls, Wis., consolidate paint and frame operations at its assembly facility in York, Pa., and close its distribution facility in Franklin, Wis., consolidating parts and accessories and general merchandise distribution through a third party. Harley-Davidson will also discontinue its domestic transportation fleet operation.
The motorcycle manufacturer plans a 10 percent to 13 percent reduction in shipments for 2009.
The planned volume reduction and restructuring actions are expected to result in the elimination of about 1,100 jobs over 2009 and 2010, including about 800 hourly production positions and about 300 non-production, primarily salaried positions.
About 70 percent of the work force reduction is expected to occur this year.
“We obviously need to make adjustments to address the current volume declines,” said Jim Ziemer, CEO of Milwaukee-based Harley-Davidson. “But we are also determined to do that in a way that will make us more competitive for the long term.
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