Harman to close most of Cheney operation

By JOHN McCALLUM

Editor

City of Cheney officials were informed in a letter received March 2 that electronics manufacturer Harman will be closing its manufacturing operations at its Cheney plant located at 2416 Cheney-Spokane Road. The plant, originally founded as XN Technologies by former Eastern Washington University computer science professor the late-Alan Hale and sold to AMX/Harman in 2006, will be laying off 86 employees in phases beginning May 4.

Manufacturing operations will effectively cease on June 30. Cheney officials were made aware of the corporation’s decision last summer.

“We heard that the time table wasn’t going to be this aggressive,” City Administrator Mark Schuller said.

Per the letter, 14 employees will be terminated May 4, with another 18 let go May 26 and the bulk, 42, on June 30. Five employees will remain until Aug. 30 and another seven until Oct. 27.

In an email, Harman’s public relations director, David Glaubke, clarified that the only portion of the Cheney facility being closed was the manufacturing operation. About 20 employees specializing as service engineers, sales and sales support will remain.

“This decision was not one we took lightly,” he said. “We explored a number of different scenarios before arriving at this one, but after careful consideration, we determined this was a necessary step for the Professional Services Division to improve its competitive position and grow in a rapidly changing marketplace.”

According to the company’s website, Harman designs and engineers connected products and solutions for automakers, consumers and enterprises worldwide. Their products include car stereos, audio and visual products, automation solutions and connected services.

According to the letter, all 86 Cheney employees have been notified of their various separation dates and that their separation from employment is permanent.

Schuller didn’t have a precise dollar figure for the impacts to the Cheney economy from the closure. One number that was available was how much Harman pays in electricity — $5,500 to $8,500 per month, an amount that would likely decline with the elimination of the manufacturing process.

“My biggest concern is the loss of good jobs in our community,” Schuller said in an email. “I have no idea how many of their employees live in Cheney, but working here means they are in town and likely support our local businesses.”

John McCallum can be reached at [email protected].