Company News

Lordstown Seating Systems to Close with GM Plant

LORDSTOWN, Ohio — Another supplier to the General Motors Lordstown complex here has notified the state that is closing “no later than March 1” and eliminating the jobs of 120 workers.

In a letter dated Dec. 27, Lordstown Seating Systems notified the Ohio Department of Job & Family Services that it’s ceasing production. The notification is required under the Worker Adjustment and Retraining Notification Act.

“The layoffs are expected to occur on Feb. 28, but could begin no earlier than Feb. 25 and no later than March 8,” stated Jennifer Darnell, human resources manager for Lordstown Seating Systems.

“Based on the information of which we are currently aware, the layoffs are expected to last longer than six months,” the WARN letter continued. “Should General Motors allocate a future product to Lordstown Assembly, we would hope to be selected as the seat supplier, which may allow us to recall a significant number of employees. If a future product is not allocated by General Motors and/or we are not selected as the seat supplier for the future product, these layoffs should be considered permanent.”

Lordstown Seating Co. is a division of Magna International, based in Canada. It posted sales of $30.69 billion for the nine months ended Sept. 30, an increase of 14% from the first nine months of 2017.

Source Providers Inc., a division of Comprehensive Logistics that performs sequencing and some component assembly for the Chevrolet Cruze, is also planning to shutdown here as GM winds down production of the vehicle.

In its WARN letter, GM identified 1,574 hourly positions that will be eliminated with the plant closing and 183 salary positions.

In April GM eliminated the second shift at the plant, idling more than 1,500 workers.

Published by The Business Journal, Youngstown, Ohio.