CANTON — Piolax Corp. has temporarily laid off 359 of its workers because of the shutdown of automobile manufacturing plants due to the coronavirus pandemic and the corresponding rapid decline in orders, an executive said Tuesday.
The Georgia Department of Labor on Monday posted a notice of the layoff on its website.
The company is part of the Japanese-based Piolax Inc. Its Canton factory, located at 139 Etowah Industrial Court manufactures industrial fasteners and precision springs mainly for automobiles in North America, according to the company website.
“We’re not looking at it as a real layoff,” Senior Vice President Kevin Holcomb said Tuesday. When automobile manufacturers resume operations and again need components made by Piolax Corp. the company will resume production. When that will be is unclear, Holcomb said.
“Honda has said it’ll resume on the 30th (of March),” Holcomb said. Others have said their production will be down for several weeks after that, he said.
According to news reports, Honda idled 29,000 production workers in North America this month.
Once demand for products picks up, workers who produce automotive products will resume work, Holcomb said. In the meantime production on other products is continuing, he said.
According to Department of Labor listings, the layoff is the second largest in Georgia this year. A call to the labor department for more information was not returned Monday afternoon.