Goodyear is reducing its consumer tyre plant in Union City, Tennessee, from continuous operation to a five-day, three-shift operation on 6 July.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
Early last month, United Steelworkers union members at the plant ratified a local labour agreement that allowed the schedule change, the tyremaker said in a statement. About 550 workers will receive buyout packages as part of the change.
Goodyear said it expected to book after-tax restructuring charges of about $60m, most of it in this current quarter, related to the cash severance payments that will be paid mostly in the third quarter.
Union City can produce about 12m consumer tires a year for both the original equipment and replacement markets and currently employs about 2,300 people.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData
