RACINE — Twin Disc, Inc.
announced additional restructuring and cost reduction measures,
which will include lowering the base salaries for the company’s
corporate officers and the elimination of 15 salaried positions.
In addition, there will be reduction in base salaries and wages
of salaried and hourly employees at the Twin Disc’s Racine
headquarters and domestic manufacturing facilities, and
temporary layoffs at its Racine operation.
Twin Disc also plans to
reduce marketing, travel and professional service expenses.
The decision to further
reduce costs, according to Twin Disc, was in response to the
challenging global market conditions in Twin Disc’s oil and gas,
global pleasure craft and Asian commercial marine markets. The
recent set of planned restricting measures are expected to save
about $4.3 million annually, in addition to $6 million of annual
savings announced in the fiscal 2015 fourth quarter, according
to the company.
“We understand the actions
we announced today and in the fourth quarter are difficult for
our employees and communities,” said John H. Batten, president
and chief executive officer, in a statement. “But given the
uncertainty in many of our traditional markets, these cost
reduction activities are necessary. We will continue to evaluate
additional activities to align our global staffing and
manufacturing capacity with current and forecasted market
Twin Disc, Inc. designs,
manufactures and sells marine and heavy-duty off-highway power