Regal Beloit to lay off 10% of Springfield work force

Last edited 2:23 p.m., Feb. 7, 2012

Beloit, Wis.-based Regal Beloit Corp. plans to lay off roughly 10 percent of the workers at its Springfield plant, 2401 E. Sunshine St.

About 45 of the plant's 350 workers will be laid off in the next couple weeks, said Brian Randall, Regal Beloit Springfield plant manager.

"We are going to make an adjustment based on current demand we see in the marketplace," Randall said.

The positions to be cut will be production workers, who are hourly employees, he said.

The news comes months after the Springfield plant hit a significant milestone. The manufacturer, which builds electronically commutated motors, on Oct. 26 produced its 10 millionth motor, according to a news release.

When asked if the layoffs are part of a broader systemwide move by Regal Beloit, Randall declined to comment.

John Perino, vice president of investor relations, told Springfield Business Journal Feb. 7 that cuts were being performed as a result of seasonal needs. The Springfield plant in particular, which builds motors for HVAC systems, is more active in warmer months, he said.

"As the (air conditioning) season comes around, hoepfully those jobs will reoccur and those people can be recalled."

Publicly traded Regal Beloit Corp. (NYSE: RBC) reported third-quarter net income of $45.67 million, up 2.3 percent compared to earnings of $44.65 million in the same quarter of 2010. For the nine months ended Oct. 1, the company recorded earnings of $118.84 million, down 4.3 percent compared to the same period of the prior year, according to a separate news release.

The company plans to release its fourth-quarter results after the market closes today.

As of 11:23 a.m., the company's shares were trading at $62.38, compared to its 52-week range of $41.65 to $76.65.[[In-content Ad]]