In a recent announcement made by Pittsburgh Glass Works, they confirmed the rumors that they are shutting their East Deer facility which will stop production next year in June. Glass companies in Australia such as Economy Glass are thriving with their business and are not affected by the news but not the same can be said of the 200 workers that will be losing their job as soon as the automotive glass factory closes down.
The Creighton plant is under Vitro which is based in Mexico and it is one of the eight plants of the company that is operating in the United States by manufacturing automotive glass.
The company said that there are many reasons that prompted the decision to close such as the old facilities considering that the plant is already 130 years old. They are not able to meet the demand for a facility with technological innovations.
The company said that even after a discussion between United Steel Workers and the company, they are not able to device a long-term solution to the problem that PGW is currently facing in the manufacturing plant.
Spokesman from USW, R. J. Hufnagel refused to give any comments.
The company made it clear though that they are experiencing overcapacity. Looking at the products that are manufactured in the Creighton plant, the demand is not enough to cover the capacity of the plan which means that they overproduce around 2 million more items annually.
According to the CEO and president of PGW, Joe Stas, they are grateful for the discussions between USW and the company regarding the future of Creighton but looking at the challenges that the plant is facing, they have come to a conclusion that it is time to shut down in 2018. They are no focusing on the employees to make sure that they get their benefits and they will be assisted in any other ways they require as their families will be going through changes next year.
While it may not be a good year for PGW, glass companies such as Economy Glass in Australia are getting more projects with the rise in demand for shower glass doors.