Paccar Cuts Shifts at Two Truck Plants

Posted on November 28, 2006

Paccar Inc. said it is eliminating one shift each at its Peterbilt Motors Co. plant outside Nashville and its Kenworth Truck Co. plant in Renton, Wash. Both plants will be left with one daily shift because of an expected downturn in demand due to higher costs associated with meeting new federal emissions regulations, Paccar said.

Paccar declined give specific staffing and layoff numbers for either plant, but The Tennessean newspaper reported on its Web site that 667 of 1200 workers in Madison, Tenn., have been sent layoff notices. Officials with the United Autoworkers Local 1832 in Madison did not return a telephone message seeking comment.

Peterbilt also laid off about 600 of the Madison plant's 900 employees following the launch of new U.S. Environmental Protection Agency emission rules in 2002. Paccar rehired the workers a year later and expanded the Peterbilt plant amid stronger demand.