Goodyear to cut 500 North American salaried positions

AKRON (Aug. 28)—Goodyear will eliminate about 500 salaried and non-bargaining unit jobs spread among most of its North American Tire unit manufacturing sites by the end of September, the company announced Aug. 28. Each location is developing its own restructuring plan for how the reductions—affecting management and staff positions—will be made. Specific details on the cuts will be shared with employees at the local facilities after plans are finalized in the next few weeks, Goodyear said. "When we announced our turnaround plan at the end of last year, we said that difficult decisions would be required," said Jon Rich, president of the North American Tire unit. "This is one of those difficult actions, but it is absolutely necessary to achieve our cost reduction objectives." Goodyear also eliminated about 700 salaried positions—most of them at its Akron headquarters—earlier this year. The company has said it wants to eliminate about $1.5 billion in costs by 2005. The company also will close its Dunlop passenger and light truck tire plant in Huntsville, Ala., by year's end as part of its yet-to-be-ratified three-year contract with the United Steelworkers—another area in which the company was seeking cost cuts and concessions. Further economic details of that agreement are forthcoming.