Impact of Wescast layoffs to be felt for long time to come

It sucks.

There is no way to sugar coat it, no way to make it sound better than it is, other than to say it sucks.

The layoffs at Wescast, announced last week, suck.

It sucks that 180 people who live in this area are now searching for a new job.

It sucks that 180 people had to go home to their families and say they were no longer employed.

It sucks that these 180 people, a majority of whom spend a portion of their hard-earned money at businesses in downtown Wingham, will no longer be doing so.

It sucks that these local businesses will suffer the impacts of layoffs issued at Wescast.

For decades, as Wingham BIA Chair Dave Tiffin said, Wescast was an employer of choice for many in our region looking to ply their trade. It provided good paying jobs for local workers, something that can be very difficult to find.

Now, the foundry is silent for one of the very first times in 121 years, its future unknown. The parking lot in front of the foundry empty, making a great sport for a road hockey game without having to shout “car!” every five minutes.

When the rumours of layoffs first gained traction in May, it was said by Wescast that they would be temporary, to allow the company to explore ways to make the foundry profitable.

Six to eight months was the timeline in May.

Fast forward to July 19, where it was reported by CTV News that the company is looking to reopen the foundry in 2026.

In two months, the timeline went from 6-8 months to three years.

You know what sucks the most about all of this? Being strung along.

It sucks that these employees are being told one thing, but everyone can see what is going to happen.

It be being said that, in the interim, foundry operations are moving to Wuhan, China, with those parts being shipped here to Wingham for machining.

It sucks that this will not be a temporary thing.

It is well known that it is cheaper to manufacture in China, for a number of reasons – lower labour costs, lack of regulatory compliance, low taxes and duties, just to name a few. We live in an age where businesses are doing whatever they can to maximize profits.

Easiest way to do that? Lower your labour costs.

I have a hard time believing that in three years’ time, after seeing three years of increased profits due to lower labour costs, etc., that Wescast will say, “Hey, you know what? We’ve had a great three years. Let’s go back to Wingham.”

It sucks that I feel this way.

It sucks that a lot of people feel this way.

And it sucks that it is the most likely scenario.

It also sucks that the long-term effects of these layoffs have yet to be felt.

For the Township of North Huron, there will definitely be some financial pain from the foundry closing.

Note that I do not have exact numbers here, but I am merely using these numbers as an example.

The water and sewer system, for all intents and purposes, costs x-amount to operate no matter how many users it has. Those costs are spread out throughout the users, based on usage. When you have a building the size of Wescast, where 180 were using the bathroom two or three times a day, that’s a lot of water usage.

With the foundry closing, those taps and toilets won’t be using nearly as much water.

However, it still costs x-amount to run the water and sewer system. Who pays the difference?

Residents.

That’s just one example.

Local retailers are going to feel some pain in the short-term. Local restaurants are going to have fewer people drop in for a meal. Fewer vehicles will be driving into town, getting gas at one of the many gas stations.

However, there is optimism in the air. Other manufacturers in the area are in need of skilled workers. Perhaps those companies will be able to expand (or get their staffing to where it should be) because of Wescast parting ways with 180 employees.

Perhaps their loss could actually be Wingham’s gain?

Only the future will tell, however, I think we can all agree – Wescast laying off 180 people sucks.

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Mike Wilson is the editor of the Wingham Advance Times. He likes to call a spade a spade, and probably used the word “sucks” far too many times in this column. Comments and feedback are welcome at mwilson@midwesternewspapers.com.

Editor