Local Leaders React To Caterpillar Announcement

Local leaders are reacting to Caterpillar’s announcement that it will be closing its Stephens County facility over the next two years, resulting in the loss of about 120 jobs at that plant.

Stephens County Development Authority Executive Director Tim Martin said it is devastating news.

“Did not see this coming,” said Martin. “It is just a sad day for the Caterpillar family, certainly those employees and their families, but the broader community as well. Caterpillar is one of our strongest companies and one of our companies that we are most proud of and we are sad to see this news.”

Echoing those thoughts was Stephens County Commission Chairman Dennis Bell.

“It is very devastating to hear this news,” said Bell. “I would ask that everybody pray for all the families and the people that are involved with this.”

Bell said it is the Development Authority’s job to spearhead those efforts to attract and recruit jobs and investment to the county.

He added that the Development Authority is working very hard on that every day.

Martin said that work will continue in an effort to move the community forward.

“As a community, we have to stay positive,” said Martin. “It will be hard work, but life is hard work. We will just be committed and determined to make the best out of this.”

Even though Caterpillar is leaving the Hayestone-Brady Business Park, Martin said the park remains a strength for the county, with its location along the soon-to-be four-lane Highway 17 and with North Georgia Technical College’s Currahee Campus located at the park.

Thursday, Caterpillar announced that it would close both its Toccoa location and its Franklin, North Carolina facility and consolidate production to a facility in Mapleton, Illinois by the end of 2016.

Both the Toccoa and Franklin, North Carolina facilities produce seals used in Caterpillar machines around the world.

Caterpillar officials said this consolidation is an effort to increase efficiency and reduce shipping costs by locating its seal production facilities closer to its supply base and several large facilities that use these components.

Between the two locations, a total of 275 positions are being affected by the consolidation.

The company said it will work with employees to determine interest in positions at other Caterpillar facilities where applicable.

Also, the company said displaced employees will receive a severance package from the company and outplacement services from the appropriate agencies.

Meanwhile, Martin said that the Development Authority is also reaching out to local and state entities like the Labor Department and Department of Community Affairs for assistance.