City winces at news of Cummins layoffs

COLUMBUS, Ind. (WISH) - Chrysler's problems are costing more Hoosiers their jobs. Columbus-based Cummins Inc. will layoff over 600 hourly employees next week.

The company is temporarily closing its midrange engine plant in Walesboro. Workers there build diesel engines for Dodge.

"Since almost everything we produce at that plant goes to Chrysler for the Dodge Ram, there's simply not enough work there to keep it open," said Cummins Spokesman Mark Land.

The last day of work for the majority of the 610 hourly workers will be May 13. A small group of employees will be kept on hand until the end of the month to shut down the plant.

Cummins plans to close the plant for at least four weeks. The company admits there is no way of knowing when the plant will reopen. That is dependent upon Chrysler.

The economic ripple effect caused by Chrysler's situation extends far beyond the auto industry. Businesses in downtown Columbus are feeling the effects of the layoffs. Just ask Robert Anderson who owns a photography gallery.

"For us, it's really tough because we sell art, which is a non-essential item. In a down economy, that's the last thing people are thinking about. So to hear there are more layoffs, that's not a good thing," said Anderson.

Two doors down at Papa's deli, worker Kim Mobley has noticed the impact of the Cummins layoffs.

"I think that trickles down to us. I know we do a lot of catering. I hate to see anyone lose there job or anything like that."

In a separate announcement not related to Chrysler, Cummins also announced it will permanently layoff approximately 110 hourly workers this June -- 30 from the fuel systems plant in Columbus, 50 from the industrial center in Seymour, and another 30 workers in the heavy duty machining operation at the Columbus engine plant.