Caterpillar to lay off 260 workers in South Milwaukee

This is an archived article and the information in the article may be outdated. Please look at the time stamp on the story to see when it was last updated.

MILWAUKEE (WITI) — Approximately 260 Caterpillar employees and union members will find themselves out of work for an indefinite period of time, starting Monday, June 24th due to a decrease in demand for mining equipment.

Though the layoffs were announced in March and scheduled for sometime in June, the company told workers on Friday, June 14th, the exact date of the layoffs would begin 10 days later, on June 24th.

Based in Peoria, Illinois, Caterpillar Inc. is primarily known for manufacturing machines and construction equipment. Its global mining headquarters is located in Oak Creek and also operates a large plant in South Milwaukee and a smaller factory in Milwaukee’s neighborhood of Bay View.

United Steelworkers Local 1343, which represents 800 Caterpillar union workers in South Milwaukee, originally said the downsizing would be temporary. However, on June 14th, Caterpillar said the layoffs would subsist for an unknown period of time.

The company released this prepared statement to the Milwaukee Business Journal on Friday:

“Some cost reduction measures have already been implemented in South Milwaukee and Oak Creek, such as previously announced indefinite and temporary layoffs of up to four weeks for other support and management employees, reduced hours for production employees, travel restrictions and controlled hiring. We know this is difficult for our employees and their families, and the company will do what it can to ensure impacted employees have support during this time. Ultimately, with lower orders from mining customers, we must take steps to bring production in line with demand.”