New Harley-Davidson Plant
#22
Just like every other large manufacturing company, Harley Davidson is only concerned with the bottom line and what they have to do to stay in business. If they can shut down the York plant (which is about 36 years old), and build a new state of the art facility that will produce the product at lower cost then that’s what they will do. Advancements in robotic assembly and environmental systems since the York plant was built are a big incentive. Much of the cost of building a new plant and retooling can be taken as a tax write-off. Couple that with the tax incentives and cold cash that a State and City government will willingly provide and there is little reason not to kill the York plant as far as business goes. However, I suspect that getting the union out of their hair is also a major reason. I hate the idea of people losing their jobs but at least the jobs will not be going off shore. I think that we are going to see many more manufacturing facilities move or shutdown before the economy can make a significant recovery.
#24
Possibly no unions there
I worked for a large manufacturing company that move to Carolina to get away from
a Union.
a Union.
What is so attractive about Kansas City? Ford moved production from Norfolk to Kansas city for their F150's a couple of years ago. Are they offering big tax incentives or is the labor just cheaper? I suppose it could be the central location making shipping a little less expensive.
#25
The only difference would be in the cost of living differences between the two locations.
I have to believe a move like this isn't so much to save labor costs, as it is total production costs.
It might save labor costs though if the new plant is more automated and does not require as many production workers.
#26
I've posted on this before, and gotten flamed every time I did...but here goes. The York plant makes the best selling models Harley sells, so why close it down. It's simple, go back to the last contract negotiation and see which local played hardball with Harley. It was York. Milwaukee and Kansas City settled much quicker and didn't try to hold the company hostage. I'm sure management hasn't forgotten this.
#29
i live in KC and it was one of the top stories this morning on the news. They just laid off several employees. So they say they may rehire them for new plant. If it comes to KC that is...
#30
If they build a new plant, my guess is it will have a much larger shipping receiving dock because a lot more will be coming over on ships.