The Filtration Group of Parker Hannifin Corp. has announced a manufacturing realignment plan that will move manufacturing of Racor filtration products from Modesto, Calif., to Parker facilities in Kearney, Neb., and Holly Springs, Miss. Engineering and Commercial operations are not affected by this realignment and will continue in Modesto, the company said.
Also as part of the realignment, the Parker Racor Holly Springs location will move manufacturing of some product lines to different facilities within the Filtration Group. The affected operation in Modesto manufactures fuel filtration products for mobile and marine markets.
The step-by-step process of closing manufacturing operations in Modesto will begin immediately and is targeted to be completed by the end of December affecting approximately 350 employees.
In a statement, Parker said its acquisition of Clarcor, which was completed in late February, resulted in excess manufacturing capacity and redundant capability across both legacy businesses. The realignment will allow for greater focus and scale in the remaining facilities and will ensure higher quality and shorter lead times for customers through the deployment of lean manufacturing principles, the company said.
“This plan to close manufacturing in Modesto in no way reflects the performance of our dedicated employees there,” the company’s statement said. “This was not an easy decision to make given the impact it has on our employees but it was necessary to maintain the competitiveness of our Filtration businesses.”
Racor was founded in 1969 in Modesto and purchased by Parker Hannifin in 1985.