300 to lose jobs at Dura’s Mancelona plant

By Bill O’Brien
Business Editor

April 01, 2008 10:35 am

— MANCELONA — Dura Automotive Inc. confirmed it will close its manufacturing plant in Mancelona, shuttering one of the largest employers in Antrim County.
The company informed the United Auto Workers union Monday that the auto plant will be closed, but no specific closing timeline was identified. Company officials said it will be a “phased” process that should be complete by year’s end.
“Today, following the conclusion of discussions with the union, Dura has regretfully announced to employees the decision to cease all operations and close the Mancelona site,” said a statement issued by Theresa Skotak, vice president and chief administrative officer for Dura.
“While several factors were considered, a critical part of the decision was the inability of the company and the union to reach an agreement that would result in an economically viable business capable of remaining competitive in an extremely aggressive global supplier landscape.”
UAW officials objected to the company’s attempt to blame the union. They said the average pay rate at the plant is less than $14 per hour and more than a hundred Dura executives received bonuses during its financial problems.
“They just keep getting richer, but the workers have to pay to give them bonuses,” said Rob Naugle, international representative for union.
Dura’s Mancelona operation includes 53 salaried employees and 250 hourly workers, company spokeswoman Shawn Brumbaugh said.
Dura filed for Chapter 11 bankruptcy in October 2006 and tried to sell the Mancelona factory for much of 2007. The company described the plant as a “non-core, underperforming operation” with eroding earnings in documents filed with the U.S. Bankruptcy Court in Wilmington, Del.
The company has reduced its workforce at plants across the country. It laid off 250 employees at a plant in Missouri in February. Dura is based in Rochester Hills and has close to 13,800 employees at 36 plants spread across 16 countries in North America, Europe and Asia.