Harley to keep Pa. plant open after contract deal

Harley to keep Pa. plant open after contract deal

Harley to keep Pa. plant open after contract deal

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WHAS11.com

Posted on December 3, 2009 at 11:30 AM

Updated Thursday, Dec 3 at 11:30 AM

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YORK, Pa. (AP) -- Harley-Davidson will no longer pursue a plan to move some operations to Kentucky after workers at its central Pennsylvania plant agreed to a new seven-year contract.
  

Harley-Davidson CEO Keith Wandell said Thursday the company will restructure its operations at the plant by laying off workers and consolidating work under one roof rather than move.
  

Company officials say they will cut York's 1,950 member work force nearly in half in coming years despite a contract that many workers view as full of concessions, including wage freezes.
  

The Milwaukee-based company had threatened to move the plant to Kentucky, citing inefficiencies and steep sales declines. The threat prompted Pennsylvania Gov. Ed Rendell to promise the company about $15 million in incentives.
  

(Copyright 2009 by The Associated Press.  All Rights Reserved.)
 

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