Hutchinson Tech Cutting Up To 40 Percent Of Workforce
HUTCHINSON, Minn. (WCCO) — Hutchinson Technology Inc. broke the news to its workers Tuesday morning that a number of them will not have jobs.
The company is a major employer in the town of Hutchinson, west of the Twin Cities.
A company statement released this morning says Hutchinson is reducing its U.S. workforce of 2,275 employees by 30 to 40 percent, eliminating as many as 900 jobs.
This will happen over the next 12 months, and the company says it will save between $40 million to $60 million a year.
Jill Jacobson is an employee and said this news will have a major impact on their community.
“This is going to be extremely painful, I think, because of the multiple layoffs, it’s reduced a lot of jobs in the area.”
Hutchinson Mayor Steve Cook received a phonce call Tuesday morning from a HTI spokesman.
“Obviously it’s a concern and it will be a challenge. We’ve been through it before with some of the other reductions that have happened,” he said.
In 2009, HTI cut about 1,000 jobs.
Cook says he’s been working to attract new businesses to the area and believes there still could be a future with HTI.
“They felt it was the best business decision to stabilize the company — which then in the long run will provide some future growth and opportunities that can have a positive impact on Hutchinson,” said Cook.
The company will move its operations to its facility in Eau Claire, Wis. Headquarters and research and development will remain in the town of Hutchinson.
NewsRadio 830 WCCO Interviews Employee, Mayor