Loral To Eliminate 100 Jobs
AKRON, Ohio (AP) _ Loral Defense Systems in Akron says it will eliminate 100 jobs and discontinue its electronics assembly operation on April 13.
The company informed union officials of the job cuts Friday.
Loral Defense Systems, the Akron area’s eighth-largest employer, is a unit of Loral Corp. of New York, the nation’s 35th-largest defense contractor.
Loral last month threatened to move the electronics assembly workers’ jobs to an area with cheaper labor costs if the union did not agree to contract concessions. The company said it needed to improve its ability to compete.
Loral employs about 320 hourly and 1,600 salaried workers in Akron.
UAW Local 856 President Tom Seese said the union refused Loral’s demands that workers take a 50 percent reduction in their pay and benefits package. They are making about $24 an hour in combined wages and fringe benefits.