Oshkosh To Cut 900 Jobs In Defense Division
Oshkosh Corp. announced today that 900 positions will be cut from its defense division this summer due to an expected decrease in demand for its military vehicles this year. The company, which specializes in manufacturing trucks, further specified that its defense-division’s workforce will shrink by about 700 hourly and 200 salaried positions through July. Oshkosh will have around 2,800 defense employees after these layoffs. The company’s daily production volumes are projected to decline approximately 30% this summer; the recent sequester cuts are the source of such speculation since it has caused a 10% decrease in the defense department’s budget.
Many articles published recently about the monthly $85 billion across-the-board cuts spoke of how government job would not be lost but acknowledged the imminent decrease of government contracts. The effects of this are now becoming evident as the private sector begins tightening its belt on hiring new employees; it’ll be interesting to monitor the labor market in the upcoming months.
The Wall Street Journal