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Cummins To Cut 460 Indiana Jobs

Columbus-Based Engine Maker Announces More Layoffs

POSTED: 9:40 am EST February 25, 2009
UPDATED: 5:20 pm EST February 25, 2009

Cummins Inc. is proceeding with the previously announced layoffs of hundreds of employees worldwide, including 460 in Indiana.

The Columbus-based company said last month it planned to cut at least 800 people by the end of February. The company revised that number upward to 985, including 225 salaried and 235 hourly workers in Indiana, 6News' Ben Morriston reported.

Earlier this month, Cummins offered early retirement packages to about 350 workers. After only 120 workers accepted the offer, the company decided to trim another 115 jobs.

Dave Nagel, who spent 25 years at Cummins, said he's glad he took the deal when he did.

"I was planning to retire in two or three years. With the early retirement package, it seemed like a good thing to do at the time. It just made sense," he said.

The company said last month that it would reduce officers' salaries by 10 percent.

Cummins has cut about 1,820 jobs worldwide in the last three months, citing the recession.

"The demand for our products has fallen, especially in the 4th quarter and on into 2009, so we're doing what we can to make sure costs stay in line with the falling demand for the products," said company spokesman Mark Land.

Columbus officials are hoping workers who've been cut will search for other jobs in the area.

"If they've taken a severance from Cummins or being laid off with some unemployment, now is the time to get involved in an educational program to get them trained," said Mayor Fred Armstrong.

In January 2008, Cummins announced plans to add 500 salaried jobs over two years. The company manufactures diesel and natural gas engines.

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