Engel Machinery Inc. is cutting more than 25 jobs in Guelph, Ontario, through layoffs and early retirement, in a move that reflects the stagnant U.S. injection press market, a top official said.
President Walter Jungwirth said Engel laid off 25 employees in Canada, where it makes robots and small and midsize injection presses, with clamping forces up to 500 tons. He said the firm is offering early retirement to more, but he declined to say how many.
Jungwirth declined to give a current employment numbers at Guelph. The laid-off employees' last day was Aug. 22.
Engel Machinery is the North American arm of Schwertberg, Austria-based Engel Holding GmbH. Jungwirth said Engel is not cutting jobs now at its other factory in York, Pa., which builds presses of more than 500 tons. That plant has adopted Engel's system of machines with a common, global platform, he said.
The U.S. market for presses is 40-50 percent the level of the peak years in the late 1990s and 2000. Engel is restructuring to meet that smaller market, he said.
``The Canadian plastics industry is doing quite well,'' Jungwirth said, adding that its growth this year could exceed the broader Canadian economy. ``On the contrary, we don't see recovery of the United States market,'' he said.
Jungwirth said Engel is looking to improve the time to market and sales and services.
Engel is not alone in laying off people. In a move announced July 29, Cincinnati-based Milacron Inc. said it would cut about 300 white- collar jobs. Some well-known names are leaving Milacron. Robert Kadykowski, general manager of the specialty equipment business, and Chris Hall, director of vertical presses, confirmed they have accepted early retirement. Their last day at work was Aug. 29.
Hermann Plank, director of multicomponent technologies, said he is leaving Milacron, with Sept. 12 as his last day. Plank, 42, is not eligible for the company's early retirement package.
Sources said that M. Barr Klaus, vice president of technology, also is taking early retirement. Klaus declined to comment.
Milacron spokesman Al Beaupre said Milacron would not comment on who is being offered early retirement.