Cat Announces Indefinite Layoffs At Illinois Engine Assembly Facility

Caterpillar Inc. has notified 814 production employees at its Mossville, Illinois, engine assembly facility that the company would indefinitely lay off those employees.

In recent months, production volumes at the Mossville engine facility have decreased significantly. This is primarily related to a decrease in orders for on-highway truck engines made in Mossville, lower demand for engines used in Caterpillar machines and decreased demand for commercial engine applications.

"These decisions are never easy, and we understand these layoffs will create challenges for many of our employees and their families," said Gary Stroup, Caterpillar vice president with responsibility for Large Power Systems Division.

Employees impacted by this decision were notified Thursday by Caterpillar and were told that the layoffs would begin on February 23, 2009. In addition, various government agencies and other officials were notified of this decision under the United States Department of Labor's Worker Adjustment and Retraining Notification Act (WARN) and the Illinois Worker Adjustment and Retraining Notification Act.

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