Relco Locomotives, a Wabtec subsidiary, will close its Cedar Rapids manufacturing facility at 4200 Thomas Dr. SW at the end of December, according to a listing on the Iowa Worker Adjustment and Retraining Notification (WARN) Act website.
A total of 34 employees will be impacted by the closure, according to the Iowa WARN notification. Employees were notified Tuesday, and the closure is effective Dec. 31.
Relco is owned by the Pittsburgh, Pennsylvania-based Westinghouse Air Brake Technologies Corporation, commonly known as Wabtec.
Wabtec spokesperson Tim Bader said the move to close the Relco facility was a “difficult decision,” noting that the company’s ongoing plan is to “transfer the work to more cost competitive third-party providers and Wabtec sites in North America.”
“Decisions like this are never easy, but this move will more efficiently serve our customers’ needs as well as better position Wabtec for success,” Mr. Bader said in a written statement. “The company remains fully committed to all customer commitments and providing impacted employees with resources and benefits to manage the transition.”
RELCO Locomotives was acquired by Wabtec in January 2020. The company is described as “a long-established company in the locomotive leasing, rebuilding, and repairing industry with operations in Albia and Cedar Rapids.” The Cedar Rapids facility is “a fabrication shop for locomotive overhauls,” Mr. Bader said.
Wabtec also operates Wabtec Railway Electronics at 5250 N. River Blvd. NE in Cedar Rapids, which will “remain open and operational,” Mr. Bader confirmed.
The company has been in Cedar Rapids since it acquired Wabtec Railway Electronics (formerly Rockwell Railroad Electronics) from Rockwell Collins in 1998.
