PGT Downsizes Overhead, Number of
In a move to increase efficiency, publicly held PGT Industries has engaged in a restructuring plan that calls for reducing overhead and shaving one manufacturing shift off the schedule. In total, the plan is expected to save the company about $16 million.
The Venice, Fla.-based manufacturer will reduce its “indirect workforce” by about 17 percent, resulting in an overall decrease of its roster by 8 percent. The company says the streamlining of overhead came as a result of in-depth analysis of target markets, internal structure, projected run rate and overall efficiency. “This restructuring is especially difficult because it affects so many of our loyal, talented and hard-working employees,” says Rod Hershberger, PGT’s president and CEO. “However, faced with unprecedented declines in the housing market, and as difficult as it is, this restructuring is essential to streamline the company and eliminate organizational redundancies as well as improve processes to drive new product development and sales.”
PGT will also decrease its production schedule from three manufacturing shifts to two.
Company officials will release more financial implications of the restructuring plan in its upcoming earnings release, scheduled for release today.
With production facilities in Venice, Fla., and Salisbury, N.C., PGT sells its aluminum and vinyl products, including hurricane-rated impact line, through a network of 1,300 independent dealers.