Saturday, May 4, 2013

Caterpillar closes Toronto plant

Nowhere in any of the stories about Cat closing the former Lovat plant is it acknowledged that Cat is simply planning to do its manufacturing elsewhere.

In fact, Caterpillar executives are implying that the company is getting out of the tunnel-boring equipment business, claiming the business is "no longer a good fit" for the company.

That's not what they said a mere five years ago on purchasing Lovat Inc.

According to Caterpillar, the acquisition was "an excellent strategic fit."

If Lovat is no longer a good fit for Caterpillar, why don't they sell it instead of shutting it down?

Could it be because they are trying to hide the fact that this is simply another case of moving jobs to lower-wage jurisdictions?

No comments:

Post a Comment