Auto seals maker lays off workers for up to six months

Goshen, Indiana – Automotive parts supplier GDC Inc. temporarily will lay off 293 employees in response to the slowdown in work due to the coronavirus pandemic.

The manufacturer of gaskets, seals and components for air flow systems and acoustic insulation said its three largest customers "suddenly and unexpectedly" announced they temporarily would close their factories because of the Covid-19 outbreak.

Layoffs started 23 March for employees at five plants in Goshen and one in Elkhart, Indiana, said GDC in a 24 March letter to the officials of the Indiana Department of Workforce Development.

The company has furloughed 271 production floor workers and nine shipping workers, as well as office employees and a supervisor for possibly up to six months.

"It is expected that the mass layoff will be temporary; however, the estimated duration is not known at this time,” said the company HR director Donna Reglein in the letter. 

None of the employees are represented by a union and do not have bumping rights.

According to Reglein, GDC could not meet the requirement that calls for 60 days advance notice for mass layoff as the pandemic had caused "unforeseen business circumstances."