Cummins set to cut 2,000 jobs after disappointing third quarter
COLUMBUS, Ind. (Oct. 27, 2015) – Cummins announced plans Tuesday to cut up to 2,000 jobs in response to what the company described as a “slowdown” in global markets. According to Cummins spokesman Jon Mills, there will be as many as 500 layoffs in Indiana.
Most of those cuts in the professional workforce would happen by the end of the year. The move would save $160 million to $200 million annually, the company said. Cummins expects to make adjustments to its manufacturing capacity on a facility-by-facility basis. The company will also evaluate its operations to see if more restructuring is necessary.
Third quarter revenue dropped six percent to $4.6 billion compared to the same quarter a year ago. Revenues in North America were up four percent, but international sales dropped by 18 percent.
The diesel engine maker headquartered in Columbus said it expected full-year revenue to be flat or down two percent.