Tenneco to close Hartwell facility
Tenneco announced Friday it plans to close its Hartwell facility in two years, eliminating more than 500 local jobs in the process.
The plant that makes Monroe automobile shocks is one of two facilities the company is closing as part of its plans to “realign its manufacturing footprint to enhance operational efficiency and respond to changing market conditions and capacity requirements,” the Forest Lake, Illinois company said in a statement.
Company officials told the factory’s employees about the closing in a meeting Friday morning.
Tenneco will begin transferring production of parts from Hartwell and another “ride control” facility in Owen Sound, Ontario, Canada, to its Kettering, Ohio plant later this year.
“We recognize the impact this action will have on our employees and are working with the local communities to provide transition assistance for all affected employees, including opportunities to transfer to other Tenneco locations,” said Brian Kessler, co-CEO of Tenneco.
There are 579 employees currently working at the Hartwell facility.
Tenneco estimates the restructuring will generate between $20-25 million annually, the company’s statement said. There are also expected to be in the range of $70-85 million in charges to restructure, including $40-50 million in cash expenditures that will include severance payments to employees, the cost of decommissioning and starting up equipment and other costs, the statement said.