Layoffs begin at Goodyear’s Danville aviation tire plant

Danville, VA – Goodyear’s previously announced layoffs of 850 employees at its Danville manufacturing plant are set to take effect April 1st, reducing the plant’s workforce by half. This move is part of Goodyear’s strategy to shift focus from commercial tire production to aviation tires, aiming to enhance the competitiveness of the Danville facility.

Goodyear is working with the United Steelworkers to manage the staffing impacts and is offering buyouts to around 800 employees. The buyouts include a payment of $3,000 for each year of service, with a minimum of $25,000 and a maximum of $105,000. Employees who do not accept the buyout will receive $300 per week for 52 weeks.

The restructuring is expected to boost Goodyear’s operating income in the Americas segment by approximately $15 million this year and $65 million annually thereafter. Despite the financial benefits, the layoffs have sparked concern among Danville residents, many of whom have longstanding ties to the plant.

The Danville plant will continue to produce aviation tires and maintain its mixing operations, while the majority of its commercial tire production will be moved to other facilities.