Citing “reductions in new railcar demand and improved efficiencies of the railroads in North America for the foreseeable future,” Amsted Rail is temporarily idling its Bessemer, Ala., Griffin® wheel facility. Amsted Rail expects to accomplish this before the end of September 2016.
Amsted Rail said it “intends to closely monitor the North American market demand and will be prepared to react as customer demand changes. Our customers will continue to be served from our other four wheel manufacturing facilities in the U.S. and Canada.”
“The dedication of our Bessemer employees in meeting customer demand will be matched by our dedication in assisting them through this difficult time,” said Amsted Rail President John Wories. “Employees will be provided with pay and benefits above and beyond the federal Worker Adjustment and Retraining Notification act (WARN) and will have opportunities to transfer to other locations with financial relocation assistance. Additionally, employee assistance services, out placement services and, where the employee elects, employment recall opportunities will also be provided. We want to make sure our employees are treated with a level of respect and dignity that will ensure their availability to quickly restart operations when customer demand returns.”
“Amsted Rail is focused on ensuring our capacity is closely aligned with our key customers’ requirements” noted Wories. “Bessemer became an important contributor to meeting these customer requirements during peak demand and we are especially thankful to the hard-working, skilled and dedicated employees who contributed to that success.”