Oshkosh Corp. cutting workforce by 10%

By Tom Daykin
Milwaukee Journal Sentinel

Oshkosh Corp. said today that it will cut its global work force by 10 percent, just two weeks after weak construction activity caused the heavy equipment maker to reduce its earnings forecast.

The company is making the work force reduction through layoffs, retirements and unfilled open positions, according to a statement.

The statement didn’t say how many employees Oshkosh has worldwide. The company’s latest annual report, filed with the Securities and Exchange Commission, said Oshkosh had 14,200 employees as of Sept. 30, 2007. That would translate to a reduction of 1,420 positions.

The statement didn’t elaborate on whether any cuts were occurring in Wisconsin or provide information on how many employees Oshkosh has in the state. The company has not filed any layoff notices with the state Department of Workforce Development, said agency official Jerry Smith.

The company has 2,700 employees in Oshkosh, where it is based, according to the Oshkosh Chamber of Commerce. It has 1,500 employees at its Pierce Manufacturing operation in Appleton, according to the Fox Cities Chamber of Commerce. The company also has 250 union employees in Kewaunee, according to its annual report.

The operations in Oshkosh, which include more than 1,800 production employees, focus on defense work, which has remained a bright spot for the company. The Appleton operations are part of the company’s fire and emergency segment, which posted a 3.1 percent sales decline during the third quarter.

"To meet current economic and market-place challenges, Oshkosh Corp. is implementing global corporate-wide organizational changes that will reduce costs, rebalance inventories and position the company to respond to the slowdown in residential and commercial construction," the statement said.