Traverse City Record-Eagle

Charlevoix County

December 17, 2008

East Jordan company cuts jobs

Approximately 80 employees will be laid off

By BILL O'BRIEN

EAST JORDAN -- One of the area's oldest manufacturers will cut more than 20 percent of its work force after the holidays, job losses tied to the slumping state and national economy.

East Jordan Iron Works Inc. confirmed it will lay off approximately 80 employees by Jan. 5, more than one-fifth of its 350-member work force. The company cited a "major slowdown" in both the U.S. housing industry and the heavy-duty truck and trailer business.

"We've had better days," said Tad Malpass, company executive vice president.

It's the second round of layoffs at the company in recent months, after around 40 workers were let go in October. The latest cuts will trim the East Jordan plant's production hours to a single shift, a reduction of one-half shift.

The cutbacks also worsen an already-bleak employment picture in Charlevoix County. Its 11.6 percent jobless rate in October ranked it 73rd among 83 Michigan counties.

A statement issued by the company said it's been impacted by "considerably reduced orders for our products," and that its customers and competitors are undergoing similar reductions. It wouldn't say if other layoff are possible.

"While we continue to be optimistic of an eventual turnaround in the markets we serve, we do not, at this time, see anything improving soon," the statement said. "We do not know if there will be any further adjustments."

The company dates locally to 1883 and manufacturers a wide range of iron, steel and rubber products including fire hydrants, trench and tree grates, meter boxes, access hatches and airport accessories. Its grates and hydrants are a common sight along streets and sidewalks both locally and around the country and beyond.

The company's headquarters are located 301 Spring St. in East Jordan. It also has distribution centers near Lansing and in Ardmore, Okla., and more than two dozen branch offices around the U.S.

Text Only