Bombardier lays off 105 workers

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January 4, 2012

DAN HEATH Press-Republican The Press Republican Wed Jan 04, 2012, 06:17 PM EST

PLATTSBURGH — Bombardier Transportation has implemented a temporary layoff of 105 employees at its Plattsburgh assembly plant.

Bombardier Transportation spokeswoman Maryanne Roberts said workers were told the news Tuesday.

"Yesterday, we had to inform some employees about a temporary adjustment in our workforce, effective today," she confirmed Wednesday afternoon.

Roberts said the layoffs involve about 65 production workers and 45 temporary employees.

About 210 people remain at work at the Plattsburgh plant after the layoffs, she said.

SOME BACK SOON

Bombardier plans to start production on a contract with the New Jersey Transit Corp. for 100 MultiLevel commuter railcars later this month, Roberts said. That will allow the company to recall 20 employees in January and 20 more in February, she said.

SUPPLIER PROBLEM

The layoffs are the result of quality-control issues with bearing housing castings that Bombardier receives from an outside supplier, which are used in the railcars the company is manufacturing for the Chicago Transit Authority. The castings are used to attach the wheels and axles to the railcar body.

Roberts said the first casting with a blemish was discovered in late November and replaced.

When the problem resurfaced Dec. 12, company officials decided to shut down production of that particular line and inspect all of the bearing housing castings.

The inspection will cover all of the railcars that have already been delivered to Chicago, all the castings already in Plattsburgh and all of those slated for delivery to Plattsburgh but still at the supplier.

Roberts said it is unknown how long that process will take and production of railcars for that contract can restart.

"This situation with the supplier was unforeseen and temporary," Roberts said. "We are working to get everyone back to work soon."

COULD TOTAL $1 BILLION

Chicago Transit ordered 406 5000-Series railcars in 2006. It exercised an option for 300 more in July. The contract and option has a total value of about $1 billion.

The 5000-Series railcars are the first in the Chicago Transit fleet to feature alternating current propulsion. That allows dynamic braking regeneration, a process that stores energy released when the brakes are applied and re-uses it during acceleration and operation.

The cars also feature an active suspension system to ensure the floors are level with station platforms for easier boarding and disembarking.

Other features include greater capacity, better communications systems, increased security and real-time diagnostics to improve reliability.

The $267 million New Jersey Transit contract was the second with Bombardier. It had ordered 329 MultiLevel units in 2003.

MARYLAND CONTRACT

Bombardier announced a $153 million contract for 54 railcars for the Maryland Transit Authority in November. That work is expected to start once the New Jersey contract ends, with delivery to Maryland Transit scheduled to take place between May 2013 and December 2013.

Email Dan Heath at:

dheath@pressrepublican.com