Industrial Plastics Co. in Valley City is considering closing its plastic injection molding facility and moving about 140 jobs to Kentucky, a company official said Tuesday.
The company and the Workers United union began to meet Monday to discuss the possibility of a move. Industrial Plastics Co. is part of MTD, which makes lawn mowers and other equipment, including the Yard-Man brand.
Mark Milko, the area director for Workers United, said he will not comment about the discussions until both sides meet again, which is scheduled for later this week.
A move would not affect the roughly 500 jobs at the MTD headquarters and customer call center, also in Valley City, in Medina County, said Kristee Mahler, director of organizational development.
If the facility moves, she said, it would take place before the end of the year. The plan would be to shift the work to a company plant in Leitchfield, Kentucky. The Valley City facility would be sold.
"The existing facility in Leitchfield has excess capacity, which is one of the prime drivers in the movement of work there," Mahler said. "They have the available square footage to pretty much pick up what we have in this facility, and put it in there. And they still have room to grow."
Mahler said the company could save money by moving operations to Kentucky, where the company makes other product.
"We're consistently looking for opportunities to improve efficiencies to save costs and eliminate excess capacity and produce significant cost savings," she said.
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