The Timken Company (USA;
NYSE:
TKR)
has laid off 200 people, or about 20% of its workforce, from Timken Romania's factory in Ploiesti.
At this point, the layoffs are temporary, scheduled through March, and include both production workers and
support staff.
Timken Ploiesti manufactures large-size ball bearings, along with spherical, cylindrical and tapered roller
bearings, for large industrial applications such as rolling mills, mining, construction and wind energy.
Most of its production is shipped to customers in Europe.
Timken bought Ploiesti -- the former S.C. Rulmenti Grei -- for $40 million in 1998 from the Romanian State
Ownership Fund's privatization arm. Since then, more than $100 million has been spent completely
overhauling and modernizing the facility. In 2003, Timken closed its Darlington, UK factory and
moved that equipment for producing large spherical and cylindrical bearings to Ploiesti.
With the layoffs, Timken Ploiesti will have fewer than 900 workers, still down only slightly
from when it took over the factory in 1998. Before the layoffs could be done, Timken had
to inform and receive approval from Prahova AJOFM, the county agency overseeing employment.
A Timken spokesperson said: "We decided to start layoffs because the volume of orders fell. We don't
plan further staff cuts in the following months."