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Posted: 11:00 p.m. Monday, Dec. 3, 2012

Navistar hiring, supplier returns to Springfield

Texas plant closing means more work locally for truck manufacturer.

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Navistar hiring, supplier returns to Springfield photo
Navistar employees assemble a truck on the assembly line at the Springfield plant. The local plant has seen increased work this year, even as the company has struggled financially. Staff photo by Bill Lackey
Navistar hiring, supplier returns to Springfield photo
Bill Lackey
Navistar employees assemble a new truck on the Springfield assembly line earlier this year. Staff photo by Bill Lackey

By Everdeen Mason

SPRINGFIELD —

Navistar International Corp.’s closing of a Texas facility has allowed the plant here to absorb some of that work — meaning more local jobs for the Springfield plant and for local suppliers.

Navistar started 27 new full-time employees here Monday, the same day that a Navistar supplier reopened because of production returning to Springfield.

The truck manufacturer ran into financial trouble this year because of decreasing revenues and because of its struggle with engine technology that did not meet carbon emissions standards. The company offered buyouts or laid off around 700 corporate-level employees and closed production plants.

But Springfield’s plant has grown, hiring hundreds since reaching an all-time employment low of around 300 workers in 2010. The plant hired for the first time in more than a decade this year and now has more than 850 workers, said Jason Barlow, president of United Auto Workers local 402. Navistar is now one of the top 10 employers in Clark County for the first time since 2009.

Barlow said the new employees who began Monday were temporary workers who moved to full-time, and that the company will be hiring more temporary workers shortly.

“I feel very optimistic,” Barlow said. “Here, we provide them good quality product for the customer, and they can always rely on us here in Springfield. We are earning more work on a daily basis here. We look for long-term growth.”

Other vendors are benefiting, too. Fontaine Modification, which does post production work for the trucking industry, left Springfield in 2011 after 20 years of business and moved to Garland, Texas, for the Navistar plant that now is closing.

Fontaine is open again in its former space at 5325 Prosperity Drive and will be hiring again, said Will Trantham, Fontaine’s president.

“It was always in the back of our minds that we might come back into Springfield,” Trantham said.

Trantham would not disclose how many jobs will be coming back to the area but said the business is looking to rehire locally.

Fontaine modifies finished trucks, doing cab and chassis work, and installs all-wheel drive, alternative fuel alterations and more.

“We are in the business of helping Navistar sell trucks, and we’re excited and we completely understand the challenges they face in this very difficult economic time,” Trantham said.

Barlow said Fontaine’s return is a good sign for the area.

“Their relocation back here shows Springfield’s long-term viability for the new year, so that’s a good sign,” he said. “I’ve also heard of other vendors thinking of relocating back to Springfield, and local vendors are looking to ramp up.”

Barlow couldn’t disclose the vendors looking to relocate. But suppliers such as Kreider Corporation have already seen major improvements since the Garland plant closed.

“It is great news for us,” said Jamie Schenk, Kreider’s production supervisor. “The work is just transferring from Garland to Springfield, and we have some of (the work) already so it should increase our workflow.”

Kreider, 2000 S. Yellow Springs St., manufactures clips, clamps and fastening devices that hold different pieces to a truck, mainly in the engine and under the bed. Schenk said the company previously had to lay people off because of Navistar’s financial issues but may be able to start hiring again next year.

Production schedules “are actually showing by the end of the year (Navistar) will double their production,” Schenk said. “As long as they do, we do.”


Springfield News-Sun business reporter Everdeen Mason has covered Navistar’s return to prominence as a local employer — from about 300 employees in 2010 to more than 850 employees in 2012. She has followed the company’s struggles with federal mandates and the local plant’s potential for future jobs.

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