Demo rides, factory tours, and perfect weather have graced this weekend's annual open house at Harley-Davidson's York plant, but there's an ominous reality hanging over the festivities: by year's end, a decision will be made to keep or close the facility. The 1.5 million square foot Pennsylvania plant is Harley's biggest, producing Softail, Touring, and CVO models, but has come under fire as Harley's financial issues have escalated.
"We determined earlier this year that the York facility at present is not competitive or sustainable going forward," Harley rep Pat Sweeney told me during a phone interview this morning. "[One option is to] look at things from an operational, cultural, and work rule perspective... what do we need to do to change things here." Sweeney explained that the other option, if the factory isn't found viable for the long haul, involves moving production to Kentucky, Tennessee, or Indiana-- creating huge stakes for more than 2,000 employees whose jobs are hanging in balance. While one report indicates that union discussions have been moved up to October, Harley has not officially indicated whether or not those talks will have any bearing on the plant's fate.
To see the inner workings of Harley-Davidson's York facilities, take a look at my Harley-Davidson York Plant Photo Gallery. And for more on this weekend's events, you can go to yorkopenhouse.com/.
Related:
- 2010 Harley-Davidson Lineup
- 2010 Harley-Davidson CVO Lineup
- State of the Nation: Year-to-Year Motorcycle Sales Dropped 54.5% in June
- Harley-Davidson Profit Drops 91%; 1,000 More Layoffs Announce
- Harley's Next Stop: India
Photos © Harley-Davidson, Basem Wasef; Click for Photo Gallery
Too sad. Never had a chance to tour the plant. Another example of how the finance bubble has hurt working people. Those jobs aren’t coming back anytime soon…
I would be really sad if the York plant closed. I attended the open house about 10 years ago, and I was so impressed with the combination of high-tech machinery and good old fashioned human craftsmanship that I left feeling awe for the Motor Company. Riding around York and the surrounding area, you really got a sense that this was Harley country. The financial impact of a York closing would be great, but I can only imagine the psychological impact on the workers and on the town, which has completely embraced the plant and the brand.
I live in PA and wrote to our fine governor about this. I heard he put in a request to have three million dollars of our stimulous package given to HD because of the financial stress HD is in. I have not heard back form him in regards to this but I think their should have been a clause if they (HD)took the money that this plant has to stay open and these people should get to keep their jobs. If they take the plant to another state AND NOT another country I do not have any issue as we the people are paying for their survival but I can not see how building a new plant and moving is going to cut any costs.
I also questioned the Buffet loan to HD in the amount of three hundred million at an astronomical 15% note and HD paying FOURTY FIVE MILLION PER YEAR JUST IN INTEREST. I do not think any of us should have to pay for that dumb decision and question where that money has gone.
Seeing this I feel a little badly about buying a Japanese bike, but the reality is that I didn’t want to spend $20k on a Road King when I could spend $10k on a Stratoliner.
Hey Scottie, you got exactly what you paid for.Wait till you want to sell it.
Friendly Dave,
I understand your comment, but my money is not “invested” in rolling stock. Tangible assets depreciate. Paid cash and it was a pure expense, like lunch. If it ever becomes bothersome I’ll gladly hand it over to someone for a steal. From what we’ve learned about these machines it will be about 100,000 miles from now.
Friendly Dave,
BTW, push a Road King or Heritage through some twisties and then hop on a Liner. I got way more than I spent. Essentially as close to a sport bike that and an 800 lb. cruiser can get.
Also, in reality, I think we will all want to trade after we hop on the new Victory XR and XC, but I can live with it for a while. Again, no resale, but that’s not the point IMHO.
Check out this dreamer…
http://cgi.ebay.com/ebaymotors/2002-Harley-Davidson-Fatboy_W0QQitemZ270462754339QQcmdZViewItemQQptZUS_motorcycles?hash=item3ef8d61e23&_trksid=p4506.c0.m245
This is what Scottie is talking about- along with the rest of the town.
http://www.motorcyclecruiser.com/features/0910_crup_2010_victory_motorcycles_preview/index.html
Scottie what were you getting at with that “dreamer” link you posted? I am thinking complete sarcasm and laughing with you. The best resale value for an HD of that year is only 18k by a book value that still can not justify the cost. Why anyone would buy an eight year old unit with no warranty and miles at a price like that is crazy. Two year warranty and no miles on a new Victory makes much more sense.
Bet it don’t sell in four days with that reserve.
If this plant closes, i won’t lose any sleep over it. I went on the tour, was looking for an exit within first 5 minutes but i was stuck on the tour for the longest most boringest hour of my life. But its free & its a factory, why should i have expected more, i didn’t. But what did piss me off was at the end of the tour, i asked to keep the hd factory issued plastic safety glasses as back up because i was having trouble with my helmets face shield. The harley tour guide acted like i just asked if i could have a free motorcycle and demamded i return the glasses to the pile that consisted of hundreds of used plastic safety glasses. So again, if these people lose their jobs, so what…!?