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105 workers taking $85,000 to leave Mitsubishi
By Karen Hansen
khansen@pantagraph.com
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NORMAL -- The work force at Mitsubishi Motors North America will get smaller next month. The company announced Friday that 105 union workers will leave the plant as part of a voluntary separation package the company offered in May.

“We have enough volunteers. We have plenty,” said spokesman Dan Irvin, adding that workers will be chosen on the basis of seniority.

Ralph Timan, president of UAW Local 2488, which represents workers at the plant, declined comment Friday, referring all questions to the union’s Detroit office.

Irvin said the workers will leave the company sometime in August, but was unsure of a specific date.

Under terms of the package, each will receive a lump sum payment of $85,000 and three months of medical benefits.

All are production workers, who assemble the company’s vehicles. Union maintenance workers, who maintain the factory’s equipment, were not eligible.

After the departure of the employees, the Normal plant will have 1,565 employees, including 1,261 union workers.

The employee reduction became necessary as the auto industry continues to struggle.

Last year, Mitsubishi’s sales increased 9 percent, to 128,993 vehicles, bucking declines in the industry.

This year, though, sales have been more of a struggle.

Through June of this year, the company has sold 53,883 vehicles, down more than 23 percent from the 70,357 vehicles sold during the same time period in 2007.

Mitsubishi and the union are also in the midst of negotiations on a new contract. The current collective bargaining agreement expires Aug. 28.

The two sides have agreed not to discuss the progress of the negotiations while they are ongoing.

Take a look
Mitsubishi Motors North America plant on Tuesday afternoon March 13, 2007. (Pantagraph/STEVE SMEDLEY)
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Reader comments on this story - 4 total

Note: All views and opinions expressed in reader comments are solely those of the individual submitting the comment, and not those of the Pantagraph or its staff.

xnader wrote on Jul 26, 2008 8:11 PM:

" I haven't bought a car here in 20 years. I go out of town, to a small town and take my time. I order what I want when I want and get $$ for my trade. You want a slap in the face??????? try to buy a car in Blm/Nrl, it is not fun. The old hide your keys trick was my last, make sure you take a spare, they kept mine, I drove away. Oh sure, I pay the sales tax difference, usually about $70, I still save over $3000 or more everytime........I actually Go to Fairbury, check it out and don't forget the Mercury line is there too!!!!!!!!!!!!!!!!! "

Man wrote on Jul 26, 2008 6:40 PM:

" I think I know why the Auto industry is having a hard time selling cars. Have you tried to buy a new car lately? My daughter was wanting to buy a new Eclipes and the salesman said " This car is soooo Hot it is selling itself." Must be why 1200 Mitsubishi workers are laid off and 105 more are on the run. The salesman was so bad and would not come down from the sticker price. She bought a Chevy. I been looking for a new car and nobody in the area wants to deal anymore. I went to Ohio and they beat the price of the same car here by $2500.00 . I have walked out of dealerships because of a salesman. I'm tired of hearing whats your phone number,I promise I wont call and bug you and if you tell them your just looking they try to get you to come inside and do some paperwork.
I think they should go to a buy online right from the factory. "

adonis wrote on Jul 26, 2008 2:04 PM:

" Hey State Farm, you want to try this? I'd take it in a heartbeat. I could always come back as a blue badge. They seem to be 3/4 of systems anyway. I hate feeling left out. "

ml wrote on Jul 26, 2008 9:25 AM:

" Smart move. "
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