EL PASO, TX – The Sumitomo Electric Wiring Systems plant, located in the city of El Paso, Texas is preparing to cut at least 110 workers as part of the process to close the company in 2024.
According to company officials, the plant, located at 6500 N. Desert Blvd. Desert Blvd. will close permanently, leaving hundreds of locals unemployed.
As explained by the company, the decision was made due to business reasons, including changes in customer design and manufacturing requirements. While the layoff of workers will be carried out progressively in four different stages.
The first phase of cuts is expected to begin on March 31, 2023, with the termination of at least 46 workers; while the second stage would take place on April 28 with the dismissal of 14 more employees; while on May 26 of the same year is expected the liquidation of another 30 collaborators; the rest would be dismissed approximately in October.
Although the company reported that it will offer severance pay to the workers, CEO Matt Adams said that SEWS management gave notice as early as April 2022 of the plant’s closure, with the intention of giving employees and families time to prepare.
“SEWS is attempting to place as many affected associates as possible in other vacant positions within the company,” Adams said.
On its website, the company describes itself as a world leader in the manufacture of wiring harnesses and automotive components, supplying electronic control units and center panels.
Sumitomo Electric Industries was founded in 1897 with the production of copper wire, while Sumitomo Electric Wiring Systems, Inc. (SEWS) was founded in June 1986. Today, the group has more than 350 consolidated companies in 30 countries.