LOUISVILLE, KY (WAVE) - GE Appliances (GEA) informed employees and union leaders Tuesday that it plans to move its Supplier Distribution Center from Shepherdsville back to Appliance Park and also move its Zoneline air conditioner production to a different, undetermined US facility.
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GEA said the approximately 140 production and maintenance employees in Building 2 at Appliance Park who would be displaced by moving production of Zoneline Packaged Terminal Air Conditioners (PTAC) would be absorbed into other areas of Appliance Park. No hourly workers would be laid off as a result of this decision, according to a news release from GEA.
The Supplier Distribution Center (SDC), operated by Derby Supply Chain Solutions was formerly located at Appliance Park but was relocated to Shepherdsville after an April 2015 fire at Building 6 at Appliance Park. The new SDC would be located in the Building 2 production area previously occupied by GeoSpring and where Zoneline currently is housed.
"The transportation time and distance from Derby's Shepherdsville location to Appliance Park has created a number of logistics challenges and is why we want to regain the supply chain advantages of an on-site supplier distribution center," GE Appliances' Vice President of Manufacturing Bill Good said. "After an in-depth evaluation, which included looking at all the buildings in Appliance Park, we concluded the best place to locate a SDC for supplier-owned parts is Building 2. This location would offer the space needed for the SDC and is central to our largest production operations - in Buildings 1 and 3 - which would allow real-time parts distribution and eliminate production delays that have occurred due to the current off-site location."
The Zoneline move is aimed at reestablishing "a strategic logistics parts distribution advantage," the news release states. The proposed move is contingent upon the outcome of decision bargaining if requested by union officials from IUE-CWA Local 83761 who will have an opportunity to offer alternatives to the Zoneline TOW proposal. If the decision is to proceed, production of the Zoneton PTAC units will be relocated in December 2017, GEA said.
GE Appliances is owned by Haier.