National Railroad Equipment Halts Production, Lays Off 38 American Jobs in Paducah

NRE Halts Production, Lays Off 38 Paducah Workers

By Tim Brockwell

PADUCAH, KY – A railroad equipment manufacturer has shut down production at its Paducah Facility.

Hal Burgan, who represents National Railroad Equipment Co. said a continued downturn of the locomotive and rail industries has forced the company to temporarily halt production at its Paducah facility. He says layoff notices were delivered April 26 to 38 employees. The layoffs take effect June 26.

Burgan cited several factors that led to the decision, including depressed commodities production and reduced demand for raw materials. He said reduced diesel prices and a strong U.S. dollar have also led to a downturn in work for the Paducah facility.

Burgan said the company is confident that the suspension will be short-term, and that NRE has recently secured several new projects. The company’s 2018 forecast reportedly shows an increase over the previous two years. The plan, according to Burgan, is to bring people back to work as production increases.

NRE is the largest privately-owned manufacturer of locomotives and locomotive components, operating three Illinois facilities and one in Kentucky.