Rockwell Collins plans to lay off 175 Iowa employees in response to the slowing economy and orders delayed by the recent Boeing strike. The company announced the layoffs as part of a larger cost reduction plan that includes delaying 2009 merit increases for management and most employees for three months, leaving some positions vacant and putting off or canceling some hiring plans. In total, 300 Rockwell Collins employees will be laid off, primarily in the operations area that includes manufacturing. About 100 contract employees also will be affected, mainly in engineering. In addition to the 100 Cedar Rapids employees that will be affected, about 75 layoffs will occur throughout other Iowa operations in Decorah, Manchester, Bellevue and Coralville.
Layoffs are in store at the Electrolux washer and dryer plant in Webster City. Officials with the Swedish-based company say 99 employees will be laid off soon. An Electrolux spokesman blames the layoffs on a softening demand for appliances. The plant employs about 1,400. Electrolux announced in 2006 that it would eliminate 700 jobs in Webster City because production of its front-loading washing machines and companion dryers was to move to Mexico. Those layoffs haven't happened yet.