Daimler Trucks North America to lay off 250 in Portland as sales lag, union official says

Workers assemble a truck at Daimler North America's Swan Island plant in Portland.

plans to lay off 250 workers at its Portland factory in February as demand stalls for new trucks, a union official said Wednesday.

Daimler, which confirmed Tuesday that it was warning workers of potential layoffs, plans an announcement Thursday. About 1,000 work at the Swan Island plant, and another 1,800 at Daimler's Portland-based headquarters.

Joe Kear, business representative with the International Association of Machinists District W24 Lodge in Portland, said managers have told the 250 workers that their last day will be Feb. 15.

"The company had been optimistic about orders picking up," Kear said, "but it just never materialized."

The cuts come a little more than a year after Daimler announced plans to hire at least 1,500 workers at its U.S. factories, which make Freightliner and Western Star trucks. Sales picked up, but then orders for big rigs slowed during the second half of 2012.

Daimler maintained its Swan Island payroll, expecting more business, Kear said. But recently the factory has had to shut down for a day at a time, he said.

The 250 layoffs will be among 1,300 throughout North America, according to the company, Kear said.

David Giroux, a Daimler Trucks North America spokesman, declined to comment on Wednesday, saying he would release a statement Thursday.

-- Richard Read,  twitter: ReadOregonian.

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