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[tazmun]

 

 
JSOnline's BusinessWatch
 
 

 

BREAKING NEWS
 

 

Harley tells workers it needs to cut millions in costs
Harley-Davidson Inc. (HOG) is seeking to cut millions of dollars in costs from its Milwaukee manufacturing operations, or those operations could be moved elsewhere, the company told employees Thursday.
 

Journal Communications . 333 W. State St. . Milwaukee, WI 53203 USA

Copyright 2009 Journal Sentinel Inc. All rights reserved.
Produced & Designed by Journal Interactive.
 

 

 

 

[tazmun]

 
JSOnline's BusinessWatch
 
 

 

BREAKING NEWS
 

 

Harley tells workers it needs to cut millions in costs
Harley-Davidson Inc. (HOG) is seeking to cut millions of dollars in costs from its Milwaukee manufacturing operations, or those operations could be moved elsewhere, the company told employees Thursday.
 

Journal Communications . 333 W. State St. . Milwaukee, WI 53203 USA

Copyright 2009 Journal Sentinel Inc. All rights reserved.
Produced & Designed by Journal Interactive.
 
Harley-Davidson tells workers it needs to cut millions in costs
By Rick Barrett of the Journal Sentinel

Posted: April 29, 2010 10:32 a.m. |(10) Comments

Harley-Davidson Inc. (HOG) is seeking to cut millions of dollars in costs from its Milwaukee manufacturing operations, or those operations could be moved elsewhere, the company told employees Thursday.

At risk would be hundreds of jobs at the company's factory on Pilgrim Road.

In a meeting with employees, company officials said there were significant "cost gaps" that must be filled.

"Our preference is to keep the production operations in Wisconsin, but as part of due diligence we will also explore alternate U.S. sites, should we be unable to achieve the kind of concrete workable solutions," that are necessary, company spokesman Bob Klein told the Journal Sentinel.

The employee meetings are continuing throughout the day.



 

 

 

[gg]

Great! So maybe we'll have the last editions of american made and assembled Harleys. Gee their value could increase as collector's items? Yeah right! Who'll buy a Harley made in China or elsewhere? I would not. I think that the Harley brand would take another hit. Geez, what's next.

[grc]

Same old management BS that all the corporations use to intimidate the employees.  Management has screwed the pooch, killed the golden goose, whatever you want to call it, and now they want the peon's to make concessions so management can continue to live large.  I've yet to see a corporation start by paring the excess headcount in the executive suites, or cutting back the huge compensation packages at the top, or by eliminating all the "perks" that add up to millions or hundreds of millions of dollars.  They always start by beating down the lower level salaried and hourly folks who do the actual work, and always threaten to eliminate jobs if they don't agree to be treated like illegal immigrants (no rights, no voice, just work your ass off and shut up).  BTW, while they expect the lower level folks to make concessions, they recently paid their clueless new CEO a $6 Million bonus for pretty much doing nothing.


Jerry

[Twolanerider]

 they recently paid their clueless new CEO a $6 Million bonus for pretty much doing nothing.

Jerry

That the guy got what he got I found to be less of an issue than that he got it in the context of company revenue.  If I remember correctly the company made about $33M for its most recent reported quarter.  While that likely won't hold assume generally that it will so make it $120m annual (not likely).

Current CEO got $6M for a year that started 1 May.  Extrapolate that to annual and it's $9M.  So the guy who couldn't keep the slide from being as huge as it was still got about $1 for every $13.5 the entire corporation made while the corporation slid significantly.  Perhaps I'm naive.  But that seems extreme.

[tazmun]

That the guy got what he got I found to be less of an issue than that he got it in the context of company revenue.  If I remember correctly the company made about $33M for its most recent reported quarter.  While that likely won't hold assume generally that it will so make it $120m annual (not likely).

Current CEO got $6M for a year that started 1 May.  Extrapolate that to annual and it's $9M.  So the guy who couldn't keep the slide from being as huge as it was still got about $1 for every $13.5 the entire corporation made while the corporation slid significantly.  Perhaps I'm naive.  But that seems extreme.

Here an idea, redesign the iron for the 21 century, make the price competitive, and you will sell. The YOUNGER
generation really gets excited with a new 22nd generation rockets. Besides what has really changed
in the Dyna, and Softail models, much less the touring in the last 20 years. Sure all look the same to me!
I'm sure we all wouldn't want to drive a 1990 automobile. Remember what they were like compaired to
the latest & greatest? Oh, if you ever toured York, the assembly line moves at a snails pace! 

[HD Rider]

Hate to see this.  Too bad for HD.

[sadunbar]

I think the workers from York can fairly accurately recite the speech to the Pilgrim Road workers.  And I suspect they may be able to predict the outcome of the "cost cutting" exercise also.

[GtreetSlide]

Same old management BS that all the corporations use to intimidate the employees.  Management has screwed the pooch, killed the golden goose, whatever you want to call it, and now they want the peon's to make concessions so management can continue to live large.  I've yet to see a corporation start by paring the excess headcount in the executive suites, or cutting back the huge compensation packages at the top, or by eliminating all the "perks" that add up to millions or hundreds of millions of dollars.  They always start by beating down the lower level salaried and hourly folks who do the actual work, and always threaten to eliminate jobs if they don't agree to be treated like illegal immigrants (no rights, no voice, just work your ass off and shut up).  BTW, while they expect the lower level folks to make concessions, they recently paid their clueless new CEO a $6 Million bonus for pretty much doing nothing.


Jerry

100% correct... I worked in middle management for a medium size company. The standard for American business has become; go for the short term profits and forget long term planning. Do anything necessary to keep the top management salary and bonuses from falling. That often includes percentage layoffs from every working dept and then beat the workers into taking less pay. That is usually followed by cutting quality somewhere as well. I've seen it over and over in the US. The guys at the top are not some valuable jewels that can't be replaced. They just dress nice and vote to give themselves more money regardless of how well or badly the company does. So, how do you tell when upper management is lying? They open their mouths...

[grc]

I think the workers from York can fairly accurately recite the speech to the Pilgrim Road workers.  And I suspect they may be able to predict the outcome of the "cost cutting" exercise also.

The sad part is, there are millions of Americans who can recite the speech and predict the outcome, from all the other manufacturing jobs that all those greedy Harvard MBA types managed to destroy.  Harley is just the latest to follow that same old script.  I'm hoping China and India rapidly tire of taking only the low level jobs, and they start taking the CEO and President/Vice President level jobs.  I'd love to be the George Clooney character from the movie "Up in the Air" and get to fly around the country firing all those jerks who have been screwing over the American working class and selling this country down the river.  And they wouldn't even have to pay me to do it, I'd consider it an honor to do it for free.


Jerry

[CVOJOE]

Sort of the ultimate cost-reduction model. Maybe they'll move production out of WI and down so southeast, southwest or Mexico? WTF? 
Don't see any of their top dogs taking a 10-20% cut in pay or perks to help out anytime soon.

[LC110]

Our wonderful state passed a tax on corporate flagships that cost Harley $22.5 million this past year.
It is not as much about the Union as it is how business friendly this state is not.
The state lawmakers are now seeing what they can do to keep Harley here in the state.