MORGANTON, NC (WJZY) - Caterpillar announced Thursday they are continuing to take costs out of its business to align with lower demand as part of an aggressive and significant restructuring initiative - first announced in September 2015.
They said these actions are resulting in substantial cost reduction in tough market conditions.
As part of their global restructuring efforts, the company notified its workforce Thursday of five facility closures and one building demolition across five U.S. states.
Caterpillar said these decisions enable them to be more efficient and better utilize their manufacturing assets.
The closures will result in a reduction of about 820 positions in total.
Announcements include (local):
Caterpillar will close the Morganton, North Carolina, facility where it manufactures engine and undercarriage components.
Some production will shift to other Caterpillar facilities. The rest will transition to outside suppliers. This closure impacts about 110 positions.
Production is expected to continue into 2017. The final transition for the consolidation is expected to be completed within the next 12-18 months.