Oakville light bulb plant closed by GE
Last Updated: Tuesday, August 4, 2009 | 4:28 PM ET
The Canadian Press
General Electric Corp.'s consumer products division is shutting down a light bulb manufacturing plant in Oakville, Ont., with the loss of about 180 jobs.
The company said late Tuesday the work will be shifted to other GE plants and subcontracted to outside suppliers over the next year.
The unit, GE Consumer & Industrial, informed its employees at the plant just west of Toronto earlier in the day.
The plant makes incandescent, fluorescent and halogen light bulbs. It employs 160 hourly production workers and 20 salaried employees.
The factory floor workers are represented by Local 544 of the Communications, Energy, and Paperworkers Union.
Dwindling demand
GE said the moves reflect changes in the market toward more energy-efficient lighting products, which has led to global overcapacity for older light bulbs.
The U.S. industrial giant said a separate warehouse and distribution centre in Oakville will continue to operate and is not part of the latest downsizing.
"This type of action is always difficult, particularly because of the human impact," said Keith Sapiano, plant manager in Oakville.
"We know today's environment is tough. That's why we will be doing everything we can to help employees through retirement options or using GE education benefits to help people retrain for other jobs."
Ronald Wilson, general manager for GE North America light manufacturing division, said the consolidation is needed to improve efficiency in the wake of global overcapacity and volume declines in traditional light bulb sales.
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