Maxima Technologies was having a picnic for its employees today.
Related Topics
Related Stories
Not a layoff.
Despite saying in March that it "expects" to begin cutting jobs "around May 26," Maxima's top executive now says no such action is planned.
Oddie Leopando indicated that its March filing with the state — which prompted a front page New Era story at that time — was only precautionary.
"I did not expect so much commotion. I thought it was just routine. You comply with the law in case something happens...," said Leopando, president and chief executive officer.
Maxima sent the letter to the state to fulfill the federal Worker Adjustment and Retraining Notification (WARN) Act, which requires a 60-day notice of mass layoffs.
The letter was submitted after several Maxima customers told the company they were shutting down their plants, creating uncertainty about the fate of Maxima, a maker of vehicle instrumentation.
"Nothing was definite about the future," he said.
But Leopando said that the Rohrerstown Road facility avoided layoffs by reducing expenses, especially by trimming travel and decreasing inventory, and by winning new business.
"We're trying to survive," he said. "You try to look for ways to cut costs and you try to generate a little bit of sales."
The former Datcon Instrument facility, outside East Petersburg, now has about 120 employees.
That's down from about 180 to 200 a year ago, he said.
The local facility, which includes a technology center, training center and assembly-line fabrication shop, serves as Maxima headquarters.
Maxima, a division of Actuant Corp. of Butler, Wisc., also has plants in Spain, Mexico and China.
Maxima's local roots date to 1970, when Datcon was started as a spinoff of Hamilton Watch.
A maker of electronic instrumentation displays, controls and gauges for on-road and off-road vehicles and equipment, Maxima was acquired in 2006 by Actuant for $91 million.
Leopando declined to disclose Maxima's sales or say whether the firm is profitable.
However, he did say that Maxima — which coincidentally had scheduled its annual company picnic today — is doing more than trying to get through the recession.
Leopando said the firm also is positioning itself for an economic recovery by continuing to develop new products and train its employees.
"At some point in time, there will be a turnaround in business," he said. "We want to be prepared for it."
Staff writer Tim Mekeel can be reached at tmekeel@LNPnews.com or 481-6030.
(165)
