Bosch employees face cuts in deal with Japanese buyer

SBT24/7 News Report

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(Tribune Photo/GREG SWIERCZ)

By SBT 24/7 News

Employees at South Bend’s Bosch Braking Systems were told Thursday to expect big changes, including some job losses, as a Japanese firm takes over some of Bosch’s operations.

The sale of the company’s foundation brakes business to Tokyo-based Akebono Brake Industry means that employees who work on those products — primarily brake calipers and drum brakes, according to Bosch spokeswoman Becky MacDonald — may face layoffs.

“Some will be employed by Akebono,” MacDonald said by telephone. “And there will be some who lose their jobs.”

MacDonald declined to say how many workers will be absorbed into Akebono and how many will be cut.

Most of the local positions are in engineering and quality control. Bosch employees were told to expect more information on their individual positions by the end of October, she said.

The deal will not affect other Bosch divisions, including booster and master cylinder products in the company’s actuation brake line.

MacDonald said the current economic situation did play a role in the company’s decision, but that this part of the business has been recording losses for years.

“We needed to restructure,” she said.

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