UPDATE 12:10 p.m.: Goodyear spokesman Keith Price verified Wednesday the company's proposed job cuts could impact 400 hourly workers at its plant in Danville.
Goodyear Chief Executive Officer Robert Keegan said in a webcast Wednesday morning the company planned to eliminate 5,000 jobs, including the potential reduction of 400 positions at the Danville factory.
"We have a tentative agreement with the union in Danville," Price said. "If they ratify in Danville, it would impact 400 jobs in Danville. These 400 would be hourly union jobs."
United Steelworkers Local 831 and the company are set to meet Thursday to discuss the reductions.
UPDATE 9:35 a.m.: Local United Steelworkers Union 831 representative Mike Fox said he "wasn't able to comment at this time" on how the announcement would affect the plant locally. He said that the Thursday meetings and vote on proposals to deal with an overstocked tire inventory in Danville would go ahead as scheduled. Two membership meetings will be held, one in the morning and one in the evening, and voting will take place all day on a tentative agreement reached between the union and Goodyear representatives. Goodyear spokeswoman Jo Andrews was not immediately available for comment.
CLEVELAND – Goodyear Tire & Rubber Co., the biggest U.S. tire maker, said Wednesday it plans to cut 5,000 jobs this year after swinging to a fourth-quarter loss as sales sank 21 percent.
The cuts equal almost 7 percent of the Akron, Ohio-based company's work force and follow the elimination of about 4,000 jobs in the second half of last year.
Goodyear lost $330 million, $1.37 per share, in the fourth quarter, after a profit of $52 million, or 23 cents per share, a year earlier.
The company lost $1.18 per share, excluding one-time charges or gains, in the most recent quarter. Analysts surveyed by Thomson Reuters expected a loss of $1.03 cents per share on that basis.
Sales dipped to $4.1 billion from $5.2 billion a year earlier.
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