NORTH CANTON, Ohio - Diebold Inc. announced June 10 that it will realign manufacturing operations in North America and close its plant in Danville, Va. Production at the Danville plant is expected to be phased out by the end of September, according to a news release.
The Danville plant, opened in 1997, employs about 110 people who assemble modules for ATM components and produce physical security and banking facility equipment.
Other U.S.-based Diebold manufacturing facilities and an external supplier in the United States are expected to pick up production of the components and equipment.
Diebold spokesman Mike Jacobsen said that all 110 jobs will be eliminated with the realignment. However, "employees in Danville do have the opportunity to apply for job openings elsewhere in the company," he said. "If they were offered another job within Diebold, they may be asked to relocate."
The company also plans to offer a program to assist its employees in finding new jobs.
"Our Opteva ATM line, which was introduced in the spring of 2003, has resulted in a single, streamlined product offering that is more efficient to produce and therefore requires less manufacturing capacity," said George S. Mayes Jr., Diebold vice president, global manufacturing. "We regret the impact that this difficult, but necessary, business decision will have on our dedicated employees in Danville. However, for Diebold to remain competitive in a cost-driven global marketplace, it is critical that we consolidate our production activities wherever possible to make better use of our manufacturing infrastructure."
