SALEM, Va. (WDBJ) – Yokohama Tire is reducing tire production at its manufacturing facility in Salem, leading to the layoff of approximately 392 hourly and salary workers, according to a marketing firm representing the company.
The plant has been open since the 1960s and produced tires for Yokohama since Mohawk Rubbery Company bought it in 1989, according to Yokohama.
The reduced output will begin in March. The company says this is in response to the expiration of certain product lifecycles and reduced demand for other products manufactured in Salem.
According to a news release, the company:
- Hourly employees will receive layoff benefits in accordance with the terms of the collective bargaining agreement between Yokohama and the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union (USW) and its Union No. 1023.
- Salaried employees will receive layoff benefits under existing company policies.
The company said the Salem facility “is not well equipped to manufacture Yokohama’s required product mix or achieve the company’s manufacturing objectives in the future.”…