Business & Tech
Caterpillar to Move 2 Production Lines Out of Joliet for Mexico
Bound for Mexico by 2018, about 230 local jobs will be lost.
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Two Caterpillar production lines will move from Joliet to Mexico and 230 local jobs will be lost, the company announced on Friday. Caterpillar Inc. told employees about the possibility of such a move in January.
The production of gear and engine oil pumps and valves will move to Monterrey, Mexico, over almost two years beginning in late 2016, the company stated. About 770 workers are employed at Caterpillar, down from a peak of 7,000 in the late 1970s.
“This company has been a mainstay in Joliet. It was a part of how Joliet has grown,” state Rep. Larry Walsh Jr. told The (Joliet) Herald-News on Friday. “At one time, it was the largest employer in the county. To kind of just turn their backs on it all for profit … it upsets me.”
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U.S. Rep. Bill Foster (IL-11) also issued a statement following Caterpillar’s announcement:
“I am extremely disappointed that Caterpillar is choosing to move jobs to Mexico, turning their back on workers and a community that has supported them for decades. I want all workers to know that my office stands ready to help in any way we can,” the congressman said.
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Foster also stated that he reached out to union leadership to offer his full support immediately after learning of the news.
“While this is a tough blow, I have no doubt that the resiliency of our community and our workers will prevail,” Foster said.
The company said it has been studying this move as a way to control costs and remain competitive in the industry. The production of truck struts and truck hoist cylinders will remain in Joliet, the company release stated.
“The company has since completed all analysis and determined to remain cost competitive, it must move forward with the transition,” reads a statement from Caterpillar.
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