CTS to end production at Indiana HQ, cut 230 jobs

June 4, 2016

Electronic components manufacturer CTS Corp. has announced it will end production at its base in Indiana by mid-2018, cutting about 230 jobs.

The company that makes sensors and other components for a variety of markets announced Friday it will begin phasing out production in Elkhart next year and convert the plant there into a research and development center supporting the company's global operations. CTS makes products in North America, Europe and Asia.

CTS said the end of Elkhart production is part of a corporate-wide simplification strategy dating to 2013. It said it also will take unspecified actions at other locations to simplify operations.

The company said it met with affected employees Friday and is committed to finding opportunities for outplacement and retraining for them.

"We are committed to the fair and respectful treatment of all employees throughout this difficult transition process," CTS CEO Kieran O'Sullivan said in a news release.

CTS said its research-and-development team in Elkhart will continue leading the advancement of the company's next generation products for automotive customers. CTS also produces components for the aerospace, communications, defense, industrial, information technology, and medical markets.

The CTS announcement came two days after President Barack Obama visited Elkhart to celebrate Elkhart County's rebound from unemployment near 20 percent during the Great Recession. Most of the rebound has been in the recreational vehicle industry.


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