Hillenbrand Industries Looks To Outsource Indiana Manufacturing

Hillenbrand Industries will look to outsource some of its manufacturing operations.

Hillenbrand Industries Inc. said Thursday it will look to outsource some of the manufacturing operations of its Hill-Rom unit, based in Batesville, Indiana.

According to a statement released Thursday, “the company and the union will explore the possibility of moving a portion of Hill-Rom's manufacturing capacity from Batesville to lower cost regions.”

By working with the union, the company hopes to coordinate layoffs with any normal attrition before announcing a more structured layoff plan. The company does not expect this initiative to result in a special charge in fiscal year 2006.

"It is essential to our strategy to have global manufacturing capabilities that allow us to compete in these important product categories and in global markets," said Peter H. Soderberg, president and CEO of Hillenbrand.