AK announces layoffs at Middletown Works
Thursday, January 08, 2009
MIDDLETOWN — About 45 workers will be laid off at AK Steel's Middletown Works facility, union officials confirmed this afternoon.
The layoffs are in response to decreasing demand for the company's products, said Scott Rich, president of the International Association of Machinists and Aerospace Workers Local Lodge 1943 — which represents hourly workers at the Middletown Works.
The Machinists were informed late yesterday, Jan. 7, of the impending layoffs. Workers were informed today, Rich said.
The company plans to layoff 22 workers next week, with another 20-25 workers cut within two weeks after that. There is no set date to recall the workers, and any recalls will be based on business conditions, Rich said.
Based on seniority, most of these workers will continue to have health benefits through the end of January. No severance was offered, based on the union contract, he said.
A voluntary layoff program has been offered to senior workers. A handful of employees have opted for that program, he said.
"I think its not a shock but it's disappointing none the less," Rich said. "Our union and employees would like to perform more work that contractors are performing."
Rich said he could not rule out more cuts if sales do not improve in the coming months.
Major cuts at AK
About four dozen union workers at the AK Steel's plant in Ashland, Ky. were called back to work Monday to inspect the facility's blast furnace. However, the company gave no definitive timetable as to when the more than 600 other members of United Steelworkers of America Local 1865 will be called back to work. The facility has been idled since mid-November.
At the company's Mansfield and Coshocton Works facilities, about 400 and 34 workers have been laid off, respectively. AK has given no word on when those workers may be recalled.
On Dec. 4, the local steelmaker announced it would cut back salaried workers' pay by 5 percent. The cuts were effective Jan. 1 for AK's 1,500 salaried employees, 800 of which work locally in Middletown and at the corporate headquarters in West Chester Twp.
This story will be updated as more information becomes available.
Contact this reporter at (513) 705-2843 or jheffner@coxohio.com.


