According to the published reports, the layoffs are a result of expected lower truck sales next year.
Navistar employs about 1,400 people at its engineering and testing operations in Fort Wayne. Cutbacks are planned among professional, technical and clerical workers, and although temporary employees and consultants will be the first to be affected, the staff reductions are expected to hit permanent employees.
The company will notify employees in late August or early September.
According to company officials, Navistar is working hard to protect earnings in the event of a downturn in sales, and at this time, the company is not expecting a lay off at its Springfield, Ohio, truck plant. The reductions will also not interfere with the start of Navistar's Next Generation Vehicle, a medium-duty truck that will be introduced during the first quarter of 2001. Engineering for that project is being done at the Fort Wayne plant.