Model 19 and 40-42 engine production to
end at Briggs no later than July ’02
by Joe Chambers
The production of two of the engines made by Briggs & Stratton in
Milwaukee will end by July 1, 2002.
The Model 40-42 opposed twin produced on the Blue Line and the Model 19
Engine produced on the Green Line will die before the end of the current fiscal
year. The fiscal year goes through June. Production could end as early as April.
The exact time of the shutdown will depend on orders.
Meeting on plans
The Union had a meeting with upper management to discuss the future of
the Milwaukee operations. In November we met with Dick Fotsch, Paul Neylon, Tom
Savage, Jeff Mahloch, Larry Bartling, and Mae Killebrew. The future described in
that meeting was not good for Milwaukee.
The end of production for the Model 19 this year had been known for
several months. The total phase out of the opposed twin had been expected to
come in the next couple of years, but it is happening much sooner than we had
hoped. The cutbacks in production this year have been much deeper than expected.
In recent years the production levels for the twin had been higher than original
forecasts.
We have not been able to determine the total number of jobs that will be
lost with the Model 19 and opposed twin production. All of departments M1, M5,
L1 and L5 will be no longer needed. There will also
be many other jobs lost in other departments related to these engines.
The Micro Engine, which had been scheduled to begin production earlier
this year, is scheduled to finally ramp up to normal production in February of
2002. This engine is only assembled here. Virtually all components are purchased
for this engine.
The Die Cast Division recently began casting the cylinder that will be
machined by a company in Manitowoc. Production of that engine has been delayed
by a prior vendor that had committed to make the cylinder but had been unable to
deliver it.
The assembly of the Micro Engine will add less than 30 jobs.
The Model 9 Horizontal Engine, which moved to Milwaukee in 1998, will
remain here. There is presently no end scheduled for that production and no
plans to move it.
There are plans to begin assembling an outboard engine beginning in March
of 2002. This will require very few people, since it will only involve attaching
a Briggs Intek Engine made in the South to a few purchased components.
Quantum work not needed
Earlier, there had been hopes that we might be able to do some production
of Quantum Engines while the Southern Plants tooled up to begin producing new
overhead valve engines to replace the Quantum and meet stricter emission
standards. This would have been temporary, but it would have been something.
This was made unnecessary because Briggs was able to make other changes
to adapt the Quantum to the tighter standards.
End planned for years
We have been told for several years that the L-head engines we produce
were going to be phased out. The V-Twin and Model 20 Engines made in Auburn are
overhead valve replacements for the opposed twin and the Model 19. The new
engines are overhead valve models designed to meet stricter emission standards.
In 1998, we were able to negotiate the “Pilot Program” which led to
the retention of machining and the return of assembly work for the Model 19
Engine.
This program also has been credited with obtaining the work currently
being done in M-3 and the assembly of the Model 9 Engine.
The Pilot Program included a 3-year pension bonus program for piecework
jobs that had been in Milwaukee prior to the Pilot Program but were changed to a
lower hourly wage by the Pilot Program.
That bonus program ends this month.
We were told that production had only about a 3-year life in 1998. When
the plan was explained to members, the Union had described it as a plan to make
our plant a hospice for dying engines. The alternative was losing more jobs
quicker.
New jobs far short of need
The major disappointment from that plan is the small number of jobs we
have been able to obtain in spite of the Pilot Program. So far, none of these
jobs appear to have a long-term future in Milwaukee. We gladly take all work we
can get, but had hoped for more substantial and permanent jobs.
Other engines all have homes
Management has repeatedly told the Union that they have no intention of
closing any of the Southern Plants. The five Southern Plants all have secure
futures with engines that are scheduled to remain in production for the
foreseeable future.
Briggs also believes that they have sufficient capacity in those plants.
While they explore new directions like the hand-held Micro Engine, the
outboard motor that we can produce here, at least initially, all existing niches
in the normal product line are filled with products made elsewhere.
Briggs is looking at ways to reduce the amount of unused space in the
Burleigh Plant. We would prefer to see that problem solved by bringing in
equipment and product lines that we can make. Unfortunately, most plans deal
with eliminating space rather than new work and jobs.
They are evaluating options to lease or sell parts of the plant, or even
demolish a portion of the plant to be able to sell the land and eliminate the
asset from the books. The consolidation of the Corporate Offices into the Plant
has also been discussed to permit the possible sale of the COB. At this time,
all options are being considered. There has been no agreement on plans.
Components will remain at Burleigh
The Company says that they intend to remain in Milwaukee. They plan to
keep the component production, which used to be the SPEC Division here. That
division produces several parts used in the engines made in the Southern plants.
They also have no plans to move the Corporate Headquarters, R&D
center and the engineering attached to R&D.
Die Cast must meet goals
The future of the Die Cast Division was also discussed with the Company.
The division is currently running in the red. They have not been able to secure
the production levels needed to be profitable.
While they have been able to bring in several new jobs for outside
customers, they have lost much of the internal work for Briggs & Stratton
here and elsewhere. This is due to the lower production levels and increased
capabilities of the Southern Plants to meet their own needs. The loss of jobs
associated with the Model 19 and Model 40-42 will add to that problem.
Paul Neylon, Vice President of Production for the Engine Division, told
us that they have to achieve certain profitability goals in the next two years
for the operation to continue.
Service Division fate not determined
We also asked about the future of the Service Division. This division is
in the Menomonee Falls Plant that was sold to Harley Davidson in the mid-90’s.
The terms of the sale included conditions that require Briggs to be out of that
plant entirely in the next few years.
So far, there has been no decision made on when it will be moved or where
it will move. According to the managers we talked with, it is possible that it
may be moved to the Burleigh Plant. No decision has been made, so there is no
commitment. We were told that the lower ceilings in the Burleigh Plant did not
preclude the possibility of putting the service center in that plant.