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Cedar Rapids, Iowa 52401
IAC plant in Iowa City laying off 477
George C. Ford
Oct. 21, 2016 4:00 pm
Nearly 500 employees of the International Automotive Components plant in Iowa City will be losing their jobs by the end of the year.
IAC, a publicly-traded company with North American headquarters in Michigan, will eliminate 440 of the 600 hourly jobs at the plant. The number of salaried employees will be reduced from 76 to 39.
The Iowa City plant, 2500 U.S. Highway 6, produces automotive interior parts for several major manufacturers.
Julie Noyes, IAC director of marketing communications, said Fiat Chrysler is phasing out production of the Dodge Dart in 2017. The Iowa City plant launched production of instrument panels and door components for the Dodge Dart in May 2012.
Noyes said Fiat Chrysler is phasing out production of all small cars.
IAC also supplies dashboard and instrument panels for the Jeep Compass and Jeep Patriot, which have been produced until recently at a plant in Belvidere, Ill.
'Fiat Chrysler is transferring production of those models to a facility outside our Iowa City plant's shipping radius.” Noyes said. Noyes said IAC will be negotiating with representatives of the United Auto Workers union between now and the end of the year, when the full workforce reduction will occur. She said the negotiations will address employee severance and outplacement programs.
Noyes said Iowa City plant will continue to manufacture parts for General Motors trucks, the Chevrolet Camaro, the Ford Transit and Hyundai. She said Fiat Chrysler's decision to end small vehicle production has had a negative impact on many automotive component manufacturers with resulting employee layoffs.
IAC's Iowa City plant began its automotive production with the 1967 Ford F-150 pickup truck. The complex was converted from a Lear plant to an IAC facility in 2007. Previously, it was operated by United Technologies Automotive and Sheller Globe.
l Comments: (319) 398-8366; george.ford@thegazette.com
A technician layers epoxy into a master which will be used to make a master for the dashboard of a Ford Fusion at the Electroforming division of IAC in Iowa City in October 2009. Company officials said Friday they would be laying off 477 hourly and salaried workers at the plant. (file photo)