Owen Sound, ON – Veyance Technologies Canada, which makes power transmission belts for industrial and automotive applications, has struck a deal with its unionized workers to close its plant in Owen Sound, ON, about three months earlier than scheduled.
The company announced earlier this month that the plant was scheduled to close at the end of July, putting almost 40 people out of work.
Veyance now says it has negotiated an earlier shutdown and severance packages for unionized employees. Workers have voted in favour of the severance packages and early closure.
Tim Jarvis, the company’s director of North American manufacturing, says the company will begin closing the plant on April 1, 2012, but it will take some time to shift customers to a new supplier so there is no firm date for the complete shuttering of the facility.
Veyance officials have blamed the closure on an excess of plant capacity in product lines manufactured in Owen Sound. The operation had been downsized over the past few years.
© 2012 The Canadian Press