Oshkosh Corporation is cutting 250-300 hourly positions from its defense segment as a result of significantly reduced U.S. defense spending. The majority of the layoffs will affect temporary employees with 70 of the layoffs coming to salaried positions. The cuts are expected to take place in December 2014.
After the workforce reduction, Oshkosh expects to retain 1,800 defense employees globally.
“We continue to reshape our workforce as a result of significantly lower U.S. defense spending and dramatic reductions in military vehicle production,” said John Urias, president of Oshkosh Defense. “We have gone to great lengths to minimize and delay the impact of these changes on our defense workforce.”
Oshkosh plans to help those affected by the layoff by reaching out to the county and state workforce development agencies around its facilities in Oshkosh, Wisc., as well as local employers. If enough interest is shown, the company will hold a job fair to help the affected employees meet prospective employers.
Despite the cuts, Oshkosh will continue to compete for future defense contracts internationally, which the company expects will serve as a catalyst for growth in the defense industry.
“Amid the defense spending downturn, we remain committed to our role in supporting our customers’ military ground operations around the world,” said Urias. “We will retain a strong, experienced workforce to serve all existing and new contracts as they are awarded. “
Oshkosh produces several vehicles for military use including the Heavy Expanded Mobility Tactical Trucks, MRAP All-Terrain Vehicle, Medium Tactical Truck and others.