HTI to cut nearly 60 jobs at Eau Claire plant

HUTCHINSON, Minn. (WEAU) -- A disk drive assembly manufacturer with a plant in Eau Claire expects to cut nearly 60 local jobs.

Hutchinson Technology says it's planning on cutting 100 jobs. About 60 of the positions are at the Eau Claire plant. The rest are positions in Minnesota. A company spokeswoman says the Eau Claire plant will be left with about 500 workers after the layoffs. The affected workers will receive a 60-day notice, and will leave in July. The workers have a variety of jobs described as manufacturing support positions. The layoffs are permanent. The company expects cost savings of $2.5 million per quarter because of the cost-saving move, and the shifting more assembly production to its Thailand plant.

The company says the affected workers are eligible for severance. It has worked with the Dislocated Worker Program as it ramped down the assembly portion of its plant in Eau Claire, and plans to keep working with that program. In March, the company announced it would cut 78 positions at the Eau Claire plant between early May and the end of June. It says this round of cuts is in addition to the cuts that were announced in March.

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