BELLEVILLE, Ill. — Union Pacific Railroad is changing the company it uses for loading and unloading automobiles in Centreville, a move that will cost 90 workers their jobs, the Belleville News-Democrat reported.
Inter-Rail Transport Inc., based in Centreville, Md., had contracted with Omaha, Neb.-based Union Pacific to operate the Centreville, Ill., vehicle distribution center. Mark Davis, a Union Pacific spokesman, said Inter-Rail approached Union Pacific and said their costs were going up.
Davis said Union Pacific had to rebid the contract, which was awarded to Caliber Auto Transport of St. Louis. Caliber will move into the distribution center today.
Inter-Rail employees could not be reached for comment.
“We’re pleased it’s remaining open, but we’re concerned about the fate of the workers,” said Terry Beach, St. Clair County’s director of economic development, adding he hopes “something can be resolved to keep the 90 workers gainfully employed.”
Inter-Rail’s workers recently had decided to organize and join Teamsters Local 604. Union representatives in St. Louis could not be reached for comment.
In a letter dated Friday and sent to St. Clair County Board Chairman John Baricevic, Centreville Mayor Frankie Seaberry and Bruce Bernardi, a supervisor with the Illinois Department of Employment Security, Inter-Rail said they were forced to cease operations in Centreville.
“We have been forced to cease operations because our only customer at the facility has unexpectedly canceled our contract to provide services. Our customer has instructed us to leave the premises immediately,” the company stated.
Vehicles made at Daimler-Chrysler’s plant in Fenton, Mo., are trucked to Centreville by Cassens Transport of Edwardsville and loaded onto rail cars and sent across North America. The distribution center also receives cars that are loaded onto trucks and sent to St. Louis area dealers.
Mazda cars and used Ford cars also are received at the center. Davis said Cassens will not be affected by the change to Caliber Auto Transport.
The Centreville distribution center opened in June 2001 and cost $20 million to build. The 95-acre distribution complex can house as many as 5,000 cars.