MOUNT VERNON — Rolls-Royce announced today that it will invest about $22 million in its the Mount Vernon site, a move that should create around 100 jobs.
The investment will be in the local plant’s gas turbine and compressor manufacturing, and assembly and test facilities. The company’s investment will be supplemented by a $1 million grant recently awarded to the company by the Ohio Department of Development.
“We looked at several alternatives for increasing our capability while concurrently reducing our operating costs,” said Ralph Kirkpatrick, vice president of operations for the energy business of Rolls-Royce. “The productivity improvements made by the Mount Vernon work force over recent years with regard to implementation of lean manufacturing principles played an important role in our decision to invest in the Mount Vernon site.”
In February, the company announced its decision to close its plant in Liverpool, England, and operate out of one location in Mount Vernon. About $12 million will be invested in consolidating the business’ energy products assembly and test capabilities in Mount Vernon. The rest will be spent on site operations for the assembly and testing of the next generation of industrial gas turbine technology, and on creating additional capability for the company’s industrial Trent product line.
Dave Howard, president of the union that represents local Rolls-royce workers, said the investment is a good thing for Mount Vernon.
“We’re hiring in a way I haven’t seen since the late 1980s and early 1990s,” he said. “Things are looking up, but there are still some labor issues I’m not happy about.”
Howard said company and union officials have worked together in recent years to improve assembly practices and cut down on the time it takes to build its units.
The local Rolls-Royce plant has a work force of about 800.
