Genie Cuts 375 Jobs in Latest Round of Workforce Reductions

October 27, 2008 -- Genie Industries, Redmond, Wash., announced layoffs of 375 people last week in the second round of cuts the company has imposed in the last four months. A weakened global economy coupled with a near-freeze in credit markets brought about the workforce reductions, according to a statement from the manufacturer of lifts, booms, aerial work platforms and light towers.

The job cuts represent 18 percent of the companyâ€™s Redmond workforce, according to a report on seattlepi.com. That equates to about 2,400 employees in production and office positions. The company has also cut more than 100 jobs at its Moses Lake plant, where some 650 employees worked. In July, Genie parent company Terex Corp. laid off 120 full-time workers and an undisclosed number of part-time workers in its AWP division.

Last week in a third-quarter earnings release, Terex reported a 6-percent cut in AWP work force in the third quarter, and an 18-percent reduction in the fourth quarter. The company expects orders for aerial work platforms to be down 30-40 percent from a year ago, starting with the fourth quarter and running through the next 12 months. The backlog of orders at the end of the third quarter was down 39 percent from the second quarter and 61 percent from a year ago.

The companyâ€™s new production facility in China is still under construction, â€œalbeit at a slower pace.â€