STOCKHOLM, Sweden — Atlas-Copco-owned Milwaukee Electric Tool Corp. announced a restructuring plan to improve production workflow and competitiveness. Milwaukee's plans include relocation of selected manufacturing and assembly responsibilities.

“The restructuring means that we will concentrate most of our manufacturing to the Mississippi — Arkansas area with Jackson becoming the hub of our southern plants,” said Daniel Perry, president and CEO of the company.

Approximately 130 employees from the Brookfield plant and 50 employees from the Jackson plant will be affected by the relocation of production to a new facility in Greenwood, Miss. The program will be combined with capital expenditures to renew and rationalize production. Better workflow, logistics, savings in manpower and lower labor cost will pay back the investment within two years.

The company expects some staff reductions through early retirement and natural attrition. In addition, whenever possible, qualified employees whose jobs are eliminated at one facility will be offered the opportunity to relocate to another Milwaukee facility where jobs are created. The restructuring should begin in the next 60 days and be completed by July, 31, 2002.