Michigan-Based Company’s Restructuring Will Result In Local Layoffs
Whirlpool Corporation has announced job cuts as part of a corporate restructuring effort.
The Benton Harbor-based company said that the layoffs are part of a two-phase reorganization strategy aimed at simplifying and focusing its business model to foster long-term growth and higher margins.
What Will The Restructuring Look Like?
The first wave of restructuring, which targets the upper management of the organization and certain areas of work, has already been communicated to employees.
This includes changes to roles, work scopes, and in some instances, the elimination of positions.
The second wave, which will address the rest of the organization, is expected to be announced by early May.
Whirlpool's Restructuring Will Result In Layoffs
The exact number of jobs affected has not been said, but Whirlpool has confirmed that the cuts will be felt close to home, with impacts in the Benton Harbor area.
The company has assured those affected will receive transition support, including comprehensive severance packages and other services.
Whirlpool Isn't Alone With Restructuring and Layoffs
There has been a broad trend of layoffs in the tech sector, with companies like Google, Amazon, and Microsoft reducing their workforce.
More than 260,000 workers have been laid off from the IT industry in the past two years, the adjustments are in response to financial pressures and a shift towards maximizing productivity.
People In Benton Harbor Are Concerned
Duane Seats, the Mayor Pro Tem of Benton Harbor, shared his concerns with the local news station ABC 57.
Whirlpool has been a lifeline to the City of Benton Harbor. It has been one of the most influential in the last 10-15 years with rebuilding and revitalization.
Brian Maynard, who owns Forté Coffee said he is hopeful the leaders at Whirlpool are making the best decisions for the community, as their livelihood depends on it. He told ABC57,
For the long-term success of our business, it is important for us to have them here so frankly we want to see them stay healthy.
Would Whirlpool Leave Benton Harbor?
Those concerned that Whirlpool would ever consider leaving Benton Harbor can relax for now. When ABC57 asked about this, Deb O’Connor the director of community relations for Whirlpool, had this to say back in February.
Whirlpool is going nowhere... we've been here 112 years, it is just a matter of what we are going to do next.
I understand companies have to do what they need to stay in business but this still sucks for hard-working people.
I hope that the severance packages and other services being offered can help everyone affected land on their feet.
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