MOUNT VERNON — Siemens is closing.

A spokesperson for the company confirmed to the News this morning that the Mount Vernon facility will be closed within a year.

“The reductions will occur in multiple phases over the next year and affect employees with Siemens Power and Gas, Power Generation Services and Dresser-Rand businesses, as well as some corporate functions,” Siemens said in an email to the News.

The decision will affect 400 employees in total, although a specific number for Mount Vernon was not provided.

The move, according to the company, “was made as part of a necessary step to enable Siemens to meet the competitive pressures in the global energy market by reducing costs and best serving our customers.”

About 40 percent of the employees will be offered opportunities to work in other Siemens locations.

“Siemens will also help to identify opportunities at other companies in the area and provide the highest level of support to those affected by offering severance packages and career counseling services,” the company said. “We thank them for their continued hard work, dedicated services and professionalism.”

Mount Vernon employees were called to a mandatory meeting this morning and were informed of the decision.

In December, Siemens told the News the company was working with officials in the Mount Vernon facility “regarding an adjustment in work force levels based on market conditions and current workload” but would not confirm any layoffs or closing.

The company has been scaling back operations since it announced in 2016 it would phase out its manufacturing processes.

In April 2017, Siemens acquired a $700,000 JobsOhio grant to remodel its 37,000-square feet Engineering Center. The project was expected to be completed by the end of 2017.

“The JobsOhio Revitalization Fund requires that participating projects commit to retain and/or create jobs that pay wages higher than average local wage rates,” stated a press released published April 29, 2017.

The News was unable to confirm the status of the project or the ramifications of closing on the funds allotted through JobsOhio as of press time.

Timeline

 

Samantha Scoles: 740-397-5333 or samantha.scoles@mountvernonnews.com and on Twitter, @mountvernonnews

 

 

 

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