08.08.2016

Manitowoc to relocate crawler production

Manitowoc has announced that it intends to relocate all of its crawler crane manufacturing operations from Manitowoc, Wisconsin to the Grove plant in Shady Grove, Pennsylvania.

The move is aimed at rationalising its manufacturing facilities in order to reduce costs and improve margins. The transition will begin almost immediately and should be completed by the middle of 2017. The move is expected to generate annual savings of $25 to $30 million.
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The Shady Grove plant

The company intends to maintain crawler crane engineering and related support functions in the Manitowoc area along with the group corporate headquarters. The move will however mean the loss of 528 jobs over the next 12 months.

Shady Grove currently builds Rough Terrain, Truck and industrial pick & carry cranes along with boom trucks. Some crawler crane production was also added last year. The 300 acre plant has plenty of spare capacity and space to absorb the entire Manitowoc production for the foreseeable future.
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One of the production halls in Shady Grove

Chief executive Barry Pennypacker said: “After a comprehensive analysis and review of our current manufacturing footprint, coupled with current market conditions, we believe this restructuring initiative will ensure that our business continues to meet and exceed the needs of our customers every day. We further recognise that this will have a personal impact on people who have been dedicated to Manitowoc. We thank them for their contributions to the achievements of our business, and are committed to treating them fairly and with respect throughout this process.”

A formal notice from the company said: "Manitowoc Cranes is still in the process of finalising the planned closure, including the specific dates of separation ... the job titles of the affected positions, and the names of the employees currently holding those positions, will be provided as soon as they are available, but no later than 60 days prior to the first scheduled workforce reduction,"