Caterpillar to Close Candian Plant

By WEEK Producer

February 3, 2012 Updated Feb 3, 2012 at 11:11 PM CDT

LONDON, ONTARIO -- In Canada, the Ontario government has confirmed that  Caterpillar will close its Electro-Motive train manufacturing plant in London, Ontario.

Workers have been locked out of the plant since January first, when a contract between the Canadian Auto Workers Union and Electro-Motive expired.

The company had reportedly wanted pay cuts of up to 50 per cent when it locked out the employees

450 workers are employed at the plant, which was recently acquired by a Caterpillar subsidiary. 

Canadians feared Caterpillar always intended to move the locomotive manufacturing from Electro-Motive to a facility in the United States, possibly Indiana.