Will consolidate residential and light commercial water heater manufacturing into other US plants.
FERGUS, Ont. – A. O. Smith Corp. will discontinue manufacturing operations at its Fergus, Ont. residential water heater facility.
The company plans to consolidate residential and light commercial water heater manufacturing into other North American plants. The relocation of the manufacturing operations will begin over the next several weeks, and the company expects to end the majority of production July 1. The transfer will affect approximately 350 employees in manufacturing and directly related support functions.
Fergus will remain the central office of A. O. Smith’s Canadian business with a total of approximately 125 employees. The facility will house the sales, marketing, finance, customer service, information technology, and product engineering functions. The company’s regional water heater distribution center also will remain
Its plant in Stratford, Ontario, that manufactures pump tanks for water systems, is not affected by this action.
The company said it will meet with affected employees this week to discuss details regarding the relocation schedule. Affected employees will be offered severance benefits as well as job placement assistance.
The 500,000 square foot Fergus facility manufactures residential and light commercial water heaters for the Canadian and US markets. A. O. Smith will continue to market water heaters under the A. O. Smith, GSW, and John Woodbrands in Canada.
A. O. Smith, with headquarters in Milwaukee, Wis., is a manufacturer of residential and commercial water heaters and boilers. The company employs 10,900 people at facilities in the US, Canada, Mexico, China, the Netherlands, and India.