Create a free Manufacturing.net account to continue

Cummins To Lay Off Nearly 200 In Indiana

Diesel engine maker is laying off 194 workers at its Columbus MidRange Engine Plant in response to a drop in orders by Chrysler.

COLUMBUS, Ind. (AP) -- Diesel engine maker Cummins Inc. is laying off nearly 200 workers at its Columbus MidRange Engine Plant in response to a drop in orders by Chrysler Group LLC.

The Columbus-based company said Tuesday that the 194 layoffs will take place after Friday, cutting the plant's employment to about 400 and paring its two shifts to one.

Cummins says the layoffs are needed because Chrysler has completed its production ramp-up for the 2010 Ram pickup truck, for which the plant makes 6.7-liter diesel engines.

Cummins spokesman Mark Land says the company doesn't know how long the layoffs will last.

Land says Chrysler now has a steady inventory to respond to demand, and engine orders have therefore fallen from the initial buildup period.

More in Operations