Tenneco cutting jobs to reduce operating costs

LAKE FOREST, Ill. (Oct. 25)—Tenneco Automotive Inc. said it is immediately eliminating 285 salaried jobs in North America as part of a plan to cut up to 700 positions, or 16 percent, of its global salaried work force by the second quarter of 2001. The move should save Tenneco about $45 million. Year to date, Tenneco has cut 140 salaried positions globally, primarily through attrition, which should generate $15 million in annual cost savings, the firm said. To bring its hourly employee base more in line with lower production volumes, the vibration control products maker also eliminated 310 hourly positions in North America over the past 60 days. Tenneco said it will consolidate its North American aftermarket exhaust production at one plant and scrap certain North American aftermarket inventories. The supplier´s board of directors is evaluating additional cost reduction measures for 2001.