United Alloy announces cutback in production and layoffs

By STEVE BENTON ( Contact ) Wednesday, Feb. 4, 2009

Podcast Episode

WCLO's Steve Benton reports on another Rock County business feeling the pinch of the economic downturn

JANESVILLE — Another Rock County business is feeling the pinch of the economic downturn.

United Alloy CEO, Terri Roessler, says their biggest customer, Cummins Power Generation, announced they were laying off 15-percent of their production staff and ten-percent of their office staff. Roessler says Cummins represents about 50% of their business so they've had to make some adjustments.

Starting this week, they've eliminated their 3rd shift, froze wages, eliminated overtime, and went to a 32 hour work week, dictated by customer orders. 12 employees have been laid off, so far.

Roessler says she didn't think they would be affected by the global recession for another year to 18 months and says they've "hit a wall." This news after six straight months of record sales.

Roessler says the company will survive, but things aren't looking good right now.

United Alloy does custom metal fabrication and powder coating for the power generation industry.

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