GM Plant Closure Sparks Ripple Effect For Other Ohio Companies
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PITTSBURGH (KDKA) -- General Motors' decision to close plants is having a ripple effect on other companies, particularly those in Youngstown, Ohio, near the Lordstown plant.
It's a bad sign as the GM supply chain starts to shut down.
Local companies feed parts and supplies, everything from front-end assemblies to seats.
Comprehensive Logistics in Youngstown takes those parts to the assembly line, and it's closing permanently.
"Their work is just as important, and their work is part of the bigger process and sometimes overlooked, which is unfortunate," Jose Arroyo, with United Steelworkers, said.
The supply chain covers numerous businesses and more closing announcements should be expected.
The United Steelworkers represented 600 workers at Comprehensive Logistics three years ago, but every time GM dropped a shift, it did, too.
This is just the first supplier to announce changes.
"It's so frightening. There's so many people losing their jobs. It's going to impact the valley just the like steel mills," Veronica Allison, with Source Providers Inc., said.
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Union workers have requested to meet with the company to secure benefits that remain and find out when is the last day of work.
The situation is far too familiar.
"Unfortunately, it's happened too many times with places that have closed recently like Parker Hanifan, Warren Steel Holdings, Ball Can over in Hubbard. It's just a trend," Arroyo said.
The Ohio Valley feels it has a great workforce, which some company should recognize and want to be here.
"We're between Chicago and New Jersey. We have a major highway by here, and we are a central location. Why are we not being utilized? Why is it so easy to be forgotten and left alone?" Allison said.
Comprehensive Logistics has an exclusive agreement with GM, meaning it cannot do work for any other company.
