Beloit Alcoa to close in June
BELOIT The Alcoa Wheel Plant, 1 Reynolds Drive, Beloit, will close in June.
The manufacturing plant provides cast automotive wheels to North American automakers, Pittsburgh-based Alcoa spokesman Kevin Lowery said.
The plant employs 240, he said.
Plant production is scheduled to end June 1. The plant will close June 30, according to the employee notification letter obtained by The Janesville Gazette.
Alcoa tried to sell the cast auto wheel business in 2005 but was unsuccessful, the letter says. After the failed attempt, the plant made significant gains in productivity and cost reduction, but "the current economic crisis has created an insurmountable problem," according to the letter.
Officials are not optimistic that Beloit Alcoa employees will be able to transfer to other Alcoa facilities, according to the letter.
The company plans to sell the property, equipment and land, the letter states.
Severance pay will be negotiated.
Lowery said Alcoa plans to work with the community to see if the property could be sold in a way that keeps jobs in the facility.
The Rock County Job Center soon will work with Alcoa human resources representatives to set up rapid response activities, said Bob Borremans said, executive director of the Southwest Wisconsin Workforce Development Board. The job center will work with dislocated workers to provide career services and retraining, he said.
Reporter Kayla Bunge contributed to this story.
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May 24, 2012 at 3:28 p.m.
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This was nice reading comments that made sense and blamed no one for the most part. Thanks!
Dec 19, 2008 at 10:04 p.m.
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That building has some bad luck! Remember Freeman Shoe?
Dec 19, 2008 at 11:53 a.m.
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It doesn't seem that southern Wisconsin is getting much in return for their contribution from taxpayer funds to the $17 billion+ bridge loan to the Big Three. Talk about a "Bridge to Nowhere" and "Lipstick on a Pig"! >:(
Dec 19, 2008 at 8:58 a.m.
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kerry is doing away with manufacturing but they should place these 17 people in the company. The last 17 are senior people with not much time to go until retiring. One guy was retiring in June a couple of others in a year. Don't know what kind of severance they are going to offer them. Interesting to see.
Dec 18, 2008 at 8:12 p.m.
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What's truly sad is that in these economic times there aren't a lot of jobs for these people to move into, union or not. I truly feel for them. The thought of this happening to me scares the heck out of me and these people are living through all of this. I just wish people who are suppose to be in the same spot would stick together because it'd help to have a support system with people who are also going through the same hard times. No bashing in that.
Dec 18, 2008 at 7:16 p.m.
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No it's not jealousy. I really wouldn't want to be in any of their shoes especially now. They are all going to be hurting in this economy. That's not a pleasant thought. I just think they should stick together if they are all in the same union. Isn't one of the mantras "Solidarity"? Hopefully the economy will recover and these people will find employment.
Dec 18, 2008 at 7:04 p.m.
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factcheck I have no problem with being informed about slave labor and such. I don't like being told I have to buy American from people who don't even do it themselves. I love the fact you brought some sanity into this. I wasn't trying to bash the union member I really wasn't. I just wanted to know why so many aren't sticking up for people in their own union. Thank you for your post. You restored my faith in people.
Dec 18, 2008 at 6:58 p.m.
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You can redirect it at me by accusing me of bashing but your own union is doing it.
Dec 18, 2008 at 6:57 p.m.
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gonefishin no one wants to answer my question because I'm pointing out the fact that your union solidarity isn't sticking up for people in YOUR union that make "foreign" parts. Thats not bashing its a fact.
Dec 18, 2008 at 5:55 p.m.
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You should buy what you want from where you want.Many of us have disagreed with some of this"Buy American" rhetoric because we are supposed to be in a global economy. Why pay more if you don`t have to? The only thing I have ever asked for was a level playing field, and we have never had one. Even now when workers are asked to have their wages in "parity" with others, what others? Half the foreign cars sold in this country are not made here, are we to be in "parity" with workers in Japan, Korea, China? I would love to have had the same wages and benefits as the German auto worker. I don`t believe in restricting the parking lot at GM, or even the one at the UAW hall. Buy what and where you want, but try and know if those products are made by slave labor, child labor, etc. I don`t want to tell anyone what to buy, just be informed.
Dec 18, 2008 at 4:09 p.m.
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gwendt no one was bashing the GM worker in this thread. I know they worked hard. I just have a question none of you will answer. All you will do is claim your being bashed. I'm not bashing. Please just answer the question if you can.
Dec 18, 2008 at 3:38 p.m.
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No one wants to address and answer an honest non-bashing question, yet they want to cry that they are being bashed. I think the fact no one wants to address issues and only want to complain is why there is so much bickering here. I'm asking an honest question. Anyone?...Anyone?
Dec 18, 2008 at 3:22 p.m.
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I'm not bashing the Union here. I have an honest question I'd like answered. How come most people here who are in the UAW say buy American and are critical of people who choose to buy what they want with their own money, yet part of their Union supplies these same products they say not to buy? I'd like an honest answer because I don't understand what looks like hypocrisy. I'd like to know.
Dec 18, 2008 at 1:16 p.m.
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oh no, not another union-bashing forum! enough already! The autoworkers are mainly assemblers, we cant tell management what products to build.We can suggest improvements, but only after the vehicle is in production. Management makes all the final decisions! Japanese management makes 10 times what the worker makes.-American management makes 400 times what the worker makes. So who are the greedy ones? union workers have already gave monetary concessions through the last several contracts. So, as i end, i am phoning a UNION contractor to erect a wall for the oncoming onslaught of union bashers.
Dec 18, 2008 at 1:10 p.m.
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No business will stay in business if they can't make a profit. They tried but never quite got back there. We have been watching it for awhile and the economy now certainly doesn't help but we knew it was just a matter of time until they closed due to not making a profit. Thankfully hubby kept telling me I had to wait to get my new car until we saw what was going to happen with his job and I have been bugging him for over 2 years!
Dec 18, 2008 at 12:41 p.m.
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To set the record straight, it the history of this plant being in operation, they have never produced wheels for Janesville or Belvedere. In the past Ford was the major customer, then it shifted to Nissan and Chrysler, and finally Honda in the recent years. The GM Janesville situation had no bearing on this plant closing, it is more tied to the entire automotive industry going down the tube.
Dec 18, 2008 at 12:21 p.m.
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Maybe they should file a greviance with their union oh wait....
Dec 18, 2008 at 12:20 p.m.
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For those of you who don't know - Honda and Nissan have auto plants in the US and employ US citizens...and those plants BUY from many US vendors (including ALCOA)...thus giving other US citizens jobs...and those citizens are able to contribute to their local economy thanks to "forgien auto makers"
It is unfortunate that the Beloit Alcoa plant is closing - but don't point fingers unless you know who to point to...GM is not a factor, Honda is not a factor, nor is any other auto maker...it is our economy...look around the country and not just in our area. Times are tough folks and they won't get any better any sooner - we have all been blessed (and spoiled) with the opportunities to live beyond our means for the most part. Time to tighten the belt. And yes I am directly affected by the closing of the Beloit Alcoa plant.
Dec 18, 2008 at 12:19 p.m.
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I was told by someone who works there its a $3/hour cut.
Dec 18, 2008 at 12:12 p.m.
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annomouse...not that they follow the contract (or that local 95 enforces it) but my hubby wasn't told anything about a pay cut...but who knows they have certainly done worse.
Dec 18, 2008 at 12:10 p.m.
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My husband works at Alcoa and I don't beleive for a minute they will be open until June. If was really going to be that long why would they feel the need to make this announcement the week before Christmas at the same time they have people working 12 hour days plus Saturday and maybe Sunday - what a moral boost!
Dec 18, 2008 at 11:58 a.m.
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Is it true they have to take a pay cut for the remainder of the time they have a job? I know they don't make GM wages and a pay cut along with their job disappearing is really going to hurt.
Dec 18, 2008 at 11:54 a.m.
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I am just thankful that they did get a better notice so they have a longer time to try to find work.It could have been like some places where they just shut the doors or only give them 60 days notice.It wasn't a very good Christmas present though.
Dec 18, 2008 at 11:52 a.m.
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ncpanfan- I feel so sorry that the union didn't do anything for the workers there but had their hands out for their dues. I know someone who is directly affected by this. I know it has nothing to do with GM. Its just one of the effects of this bad economy and I feel for the families that are going to be struggling because of this.
Dec 18, 2008 at 11:48 a.m.
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I see beeferer stirred the pot and hasn't commented since I spoke the truth. I guess he has to find out what his opinion is at the next union meeting.
Dec 18, 2008 at 11:39 a.m.
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My hubby has been there almost 13 years. Yes they are union not that it wasn't a close call when they tried to get it in. When the union got in they didn't get anything more than what they were already getting at the time as far as pay and benefits, only difference was now they had to pay the union for them.
GM was not a factor. Honda was their biggest customer. They haven't made a profit in a long time and it was only a matter of time.
Dec 18, 2008 at 11:38 a.m.
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Sorry, if our "American" carmakers can't make a car decent on gas, that can compete with the price of a "foreign" car, then they need to look at the way they do business.
All of those that yell and scream about "Buy American", what brand are your television sets??? So NOTHING in your home was made by a foreign country? Yeah, right.
Dec 18, 2008 at 11:34 a.m.
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anonomouse- great argument i never thought of this situation that way..... Now that i do it makes me think unions are even more of a rackett than i thought. A bunch of hipocrits.
Dec 18, 2008 at 11:30 a.m.
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And don't say the profits from Mexico and Canada come here because if they did they went into the CEO's pocket or the Unions pocket because if they were profiting they wouldn't be asking for a bail out.
Dec 18, 2008 at 11:24 a.m.
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Just googled it. I was right. Alcoa is UAW. Funny they make parts for "foreign" cars and pay into the union that is saying only buy American. Also not all American cars are made in the USA.
Dec 18, 2008 at 11:17 a.m.
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And Alcoa is union. I hear they are UAW. Are you UAW workers turning your back on them since they made products for Honda? Are you returning all the union dues they paid? Inquiring minds want to know.
Dec 18, 2008 at 11:15 a.m.
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And Beeferer I have a college education. Since you are posting about brain capacity what is yours? Can you even speak for yourself without someone at the Union hall telling you what to think? Not all GM cars are made in America. Is it ok to buy a car made in Mexico? I'm sure they aren't spending their wages here. I also know that part of my vehicle, the wheels, were made in your area. Do you think the workers that got paid for the work didn't spend money helping your local economy? You are the one that needs an education. We are in a "global" economy and everyone is hurting right now.
Dec 18, 2008 at 11:14 a.m.
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The point is that there has been a downturn in ALL automotive industries in the past few years. Even the foreign automakers are struggling with sales here in the US. I would gather that's a main reason the Alcoa is shutting their doors. They had nothing to do with GM....most of their wheels went to Honda and Nissan I believe.
Dec 18, 2008 at 11:10 a.m.
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ok you care if I buy an american made foreign car that helped support a portion of you local economy but it's ok for me to buy a mexican or other foreign made american car. Hmm I guess you are only looking out for you. Last time I checked this is a free country and I can spend my money how I want.
Dec 18, 2008 at 11:06 a.m.
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Darn right your bashed. Why would anyone with 1/8 of a brain want foreign companies to prosper and let American companies go down the tubes? Why support other countries? And don't you dare say that American made products are inferior!
Dec 18, 2008 at 10:42 a.m.
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This plant is UAW I believe, I could be wrong. This plant made the wheels for my American Made "foreign" vehicle. Proving we live in a "global economy".I feel sorry for these people and their families. So when I bought my "foreign" vehicle I supported Local families, yet I'm bashed here for owning my car I bought with my own money in this free country.
Dec 18, 2008 at 10:39 a.m.
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I feel badly for the displaced workers and for Beloit. A story today in the Rockford, IL, newspaper quoted a UW-Madison professor as projecting that 9,000 jobs will be lost in this area as a direct result of GM closing its Janesville plant. I don't know if Alcoa fits that bill or not. Again, my thoughts and prayers go out to these folks and anyone else facing a job loss.
Dec 18, 2008 at 10:26 a.m.
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Having worked in this facility in the past, I can honestly say I am surprised it has taken this long. I feel for each and every employee there as losing your job is never easy. Corporate never wanted to be in the Cast Auto Wheel business from the beginning, just came with the package when they bought out Reynolds. A little more support from above, and I think this plant could have made it, the foundation for a successful business was certainly in place.
Dec 18, 2008 at 10:25 a.m.
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Kerry in Beloit is letting go of all union workers as of 12/29/08 according to the Beloit Daily News. Kerry is doing well as a business, but apparently does not like the union.
Dec 18, 2008 at 10:14 a.m.
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We lost over 2 dozen yesterday where I work, and I see people being escorted out the door today. That doesn't count everybody that's got cut since summer. It's very tense in our little part of Whitewater today.
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