Fifty-three local employees of Wiremold Canada Legrand will lose their jobs as the company moves its production to West Hartford in Connecticut.
That is the world headquarters for the multi-national company, which specializes in products and systems for electrical installations and information networks and employs around 35,000 people world wide.
The announcement of the Fergus plant closure was made on Sept. 23 and Vice President of human resources Bernie Urbina said in an interview it is possible some key people will be offered positions with the company – but at the West Hartford headquarters.
Urbina stated permanent layoffs would start in November and be completed by next April.
He explained the company was simply reducing duplication by making the switch to its headquarters in the United States. He said the workers there produce the same products, use the same machinery and have the mainly the same skills as those at the Fergus plant.
Urbina said the company will continue its Canadian presence and its Canadian head office in Vaughan will continue to provide sales and service for current and future customers.
Legrand President Jim Taggart said in a press release, “We sincerely regret the impact that this decision will have on our Fergus employees.”
He added the company will provide severance pay for those eligible, as well as employee benefits continuation and outplacement assistance.
Wiremold Canada Inc. has been operating in Fergus since the 1970s and its current corporate owner purchased the business in 2000. The Fergus plant produced custom wire and cable management solutions and employed 35 hourly and 18 salaried employees.
Between the office in Vaughan and the sales force in the field, there are still about 70 employees of Legrand in Canada. Calls to the Fergus plant were referred to the office in Vaughan.
Urbina said the Buy American campaign in the United States had nothing to do with the decision to move operations there, and added if that was the case, it would be leaving Canada entirely. He said it was simply a matter of duplication of production and savings that led the company to shut down in Fergus.
Wellington-Halton Hills MP Michael Chong said in an interview on Monday night the federal government is working diligently to have the United States drop the Buy American campaign, but he noted the Ontario government recently implemented some protectionist measures of its own, which makes the task more difficult.
As for the lost jobs, he said, “I’m concerned whenever people lose their jobs. My thoughts are with them, and with their families.”
He had his office contact the company and offer any help it can. Chong also noted the federal government recently enhanced its Employment Insurance by adding several weeks of eligibility.
He also put Wiremold Legrand officials in touch with Human Resources Skills Development to enable officials to help workers with such things as Employment Insurance and other benefits and possible training.
In 2007, Legrand reported sales of $4.1-billion (Canadian), including 25% of that in emerging markets.
