Business

EPA, OSHA costs blamed for job cuts at McLanahan/Universal

(File Photo) McLanahan Universal Engineering employee Scott Wehde cuts out parts for a rock crusher from a sheet of stee
(File Photo) McLanahan Universal Engineering employee Scott Wehde cuts out parts for a rock crusher from a sheet of steel Tuesday, May 1, 2012 in Cedar Rapids. Iowa manufacturing employment has rebounded from the depths of the recession with machinery makers playing a dominant role. (Brian Ray/The Gazette)

In announcing McLanahan/Universal in Cedar Rapids would cease manufacturing operations, McLanahan Corp. President and COO George Sidney on Monday cited federal “regulations that (President Barack Obama) has put in place that has crippled the industries we serve.”

Because of the costs associated with those regulations, Sidney told KCRG, “People are not investing in infrastructure and mining operations.”

In a phone interview with The Gazette on Tuesday, Sidney specified that he was referring to aggregate coal and silica mining regulations established by the U.S. Departments of Interior and Labor, the Environmental Protection Agency and the Occupational Safety and Health Administration.

The company will eliminate 15 of its 50 positions at 800 First Ave. NW at the end of October.

Manufacturing, Sindey said, constitutes less than a quarter of the Cedar Rapids operations, where it makes rock crushing and other equipment among other mining equipment.

The Cedar Rapids location also handles sales and servicing.

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