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Steelton plant retains jobs on strength of SEPTA contract

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Federal stimulus funds for a Philadelphia transit project translate into good news for Harrisburg. An order from SEPTA, the Philadelphia transit authority, will allow ArcelorMittal’s Steelton plant to retain jobs at the 670-worker steel mill.

Thanks to $191 million in stimulus funds for projects including track and station improvements, SEPTA placed an order for $3.7 million from ArcelorMittal’s Harrisburg plant. The first rails left the factory last Thursday. The authority has purchased more than 10,000 tons of steel from the Steelton plant in the last ten years.

The new contract is good news for the plant, which was hard hit by this year’s economic turndown. Ten percent of the workforce has been laid off. Now current jobs are more secure, says plant manager David Wirick, and if conditions stabilize, the plant may look at future hiring.

“Our hiring will be determined based on what other orders we receive,” he says. “Rail represents 50 percent of our business. In the first and second quarters of next year, we may be able to hire a few [people].”

Wirick praises SEPTA’s speed in applying for federal funds. “They’ve done an outstanding job in seeking out funds. They had the projects ready, ” he says.

ArcelorMittal, an international company, is based in Luxembourg.

Source: Dave Wirick, ArcelorMittal
Writer: Chris O’Toole

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