Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SATURDAY, April 28, 1990 TAG: 9004280097
SECTION: BUSINESS PAGE: A7 EDITION: METRO
SOURCE: GEORGE KEGLEY BUSINESS EDITOR
DATELINE: LENGTH: Medium
Under seniority provisions of Local 162 of the International Union of Electronic Workers, the additional employees may be bumped to lower paying jobs as a result of the layoffs.
The 210 number is a revision of the company's earlier announcement that approximately 220 employees would be laid off, according to Laurel Holder of ITT.
The cutback of 20 percent of the work force of the night vision goggles plant was caused by ITT's failure to win renewal of a contract to manufacture an earlier Generation II model of the devices, the company said.
The curtailment of Generation II production followed the Army's decision not to renew the contract.
An additional number of salaried employees will be laid off at the plant but Holder said the extent of that move still has not been determined.
The first layoff notices for the 210 employees were posted Friday and the remainder will be issued in the next several weeks, the company said.
Roger Flinchum, president of IUE Local 162, said, "There's not much you can do in a layoff situation . . . It's unfortunate."
While ITT lost the Generation II contract, the Electro-Optical Products Division recently won a $164-million contract for production of new Generation III night vision goggles. The General Accounting Office has stayed that contract award because of a challenge by competing Litton Industries. Litton demanded to know why its bid of $25 million less was not accepted by the Army.
ITT is expected to contend that the quality of its products is worth a higher price.
by CNB