Caterpillar lays off 289 Georgia workers; 2,454 nationwide

Caterpillar Inc. said Tuesday it is laying off 289 employees in Georgia — part of a restructuring that will eliminate 2,454 jobs as the global economy takes its toll on the Peoria, Ill.-based construction and mining equipment maker.

The company said it will shutter its fuel systems factory in Jefferson, northwest of Athens, leaving 89 jobless by the end of June. That work will be moved to Caterpillar’s plant in Thomasville and another factory in Pontiac, Ill.

Another 200 workers will lose their jobs beginning in May, at a Caterpillar engine facility in Griffin in Spalding County.

The remainder of the cuts will come from the company’s operations in Illinois and Indiana.

Caterpillar in January announced it would cut more than 22,000 jobs globally as it sought to bring production in line with the current economy. Eleven of the Georgia jobs were part of the January announcement, meaning most of the cuts announced Tuesday are new.

After President Obama’s visit in February to a Caterpillar facility, Chairman and CEO Jim Owens said the federal stimulus package could spur demand for the company’s products and lead to the rehiring of some workers.