Ten Percent Of Jobs Could Go At Federal Mogul -- MesoLink.org -- 01-18-06

Federal Mogul, a company that used to make car parts from asbestos, may be planning to cut around ten percent of its workforce while coming out of four years of bankruptcy protection. It is thought that the ten percent in job cuts could be completed by around 2008, with up to 25 of its facilities affected by the cuts.

A spokesperson for the Michigan based company recently stated that the restructuring caused by the cuts could cost between $125 and $150 million. The company employs around 17,000 people in the United States alone, and worldwide employs around 45,000 workers on a full time basis.

No announcement has yet been made with regards to where the job cuts will take place. The company has facilities in a number of states in America as well as in other countries around the world. Federal Mogul filed for bankruptcy protection in 2001, and since that time has been trying to cut costs through job cuts and plant closures.

It was a combination of a decline in the sale of asbestos-based vehicle parts and lawsuits filed by those that suffered health problems through asbestos exposure that resulted in the company having to file for bankruptcy protection.