Oilgear to cease manufacturing operations


Milwaukee-based The Oilgear Company will shut down manufacturing operations by Aug. 1, affecting approximately 45 production and support employees.

The company expects some permanent layoffs to occur prior to Aug. 1, according to a notice filed with the state. Affected employees will receive individual notices and will receive their regular salary and benefits through July 21. Certain positions will have an opportunity for relocation.

The Oilgear Company said in a statement that the closure is due to realigning its manufacturing capabilities and services in the U.S. in order “to maximize the competencies and strengths of the entire Oilgear team as part of a broader vision to be a worldwide leader in hydraulic solutions.”

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Manufacturing will be streamlined to two manufacturing centers in Traverse City, Mich., and Fremont, Neb. The company’s headquarters, along with its engineering, customer service, service, and other administrative functions, will remain in Milwaukee. The company tentatively plans to move to a “new, more modern facility” in 2016.

“The realignment allows Oilgear to maximize its operating efficiencies and continue ongoing capital investments as part of a global growth strategy,” the company said in a statement. “Focused centers of excellence also maximize the ability to share expertise and knowledge to enhance product development efforts and speed customer responsiveness.”

Located at 2300 S. 51st St., The Oilgear Company is a worldwide fluid technology provider, with a focus on integrated hydraulic/electric systems, large press retrofits and detailed and hi-tech solutions. It has approximately 475 employees worldwide.

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