Publication select ▼
HAZEL PARK — A BorgWarner plant that manufactures batteries for electric vehicles will be closing its Hazel Park and Warren facilities this July. Nearly 190 jobs will be lost.
BorgWarner disclosed its plans in compliance with WARN — the Worker Adjustment and Retraining Notification Act of 1988. WARN is a United States labor law that requires most employers of certain sizes to issue advance notice before mass layoffs or site closures. A WARN notice is filed with a state’s Department of Labor and Economic Opportunity.
The Hazel Park facility is located at 1400 E. 10 Mile Road, Suite 150, in the city’s Tri-County Commerce Center, while the Warren facility is located at 23950 Mound Road, Suite 300.
The Hazel Park operation was formerly known as Akasol prior to being acquired in 2022.
“This closure is expected to be permanent and will affect all employees,” said plant manager Scott Crouthamel in the WARN notice Feb. 11.
Of the nearly 190 jobs that will be lost, the most heavily impacted include assembly operators (55 positions), technical operators (24 positions) and team leaders (16 positions).
“All affected employees have been notified of their separation dates, and that their separation from employment will be permanent,” Crouthamel said.
The layoffs there will begin April 14, and be completed by July.
“There will not be any bumping rights for the affected employees — that is, employees will not be able to displace more junior employees out of their job positions as a result of this closure,” Crouthamel said. “There is no union representing the impacted employees.”
In Hazel Park, the BorgWarner plant was one of multiple tenants at the sprawling Tri-County Commerce Center. The center is owned and operated by developer Ashley Capital.
Located at the corner of 10 Mile and Dequindre roads, where Hazel Park Raceway once stood, the Tri-County Commerce Center also features an Amazon distribution center, as well as facilities for such companies as LG Energy Solution Michigan, Mayville Engineering Company, Hi-Lex Controls, Dakkota Integrated Systems, and more.
“It’s sad to see (BorgWarner) go,” said Hazel Park Mayor Mike Webb. “I toured the place when the batteries were first being made there. It’s sad to see that innovation go, but hopefully something new and just as great will come in the future.
“We’ve had venture capitalists come in and take over the center and build new facilities there, bringing new types of businesses to our city, which has been to our benefit, creating new jobs and new opportunities,” Webb said of the Tri-County Commerce Center. “Overall, the place is still being well-served and well-utilized by different corporations.”
He also took a moment to remember the Hazel Park Raceway.
“The racetrack had its time and day. Everybody enjoyed its entertainment value. It was a very family-oriented establishment,” Webb said. “But of course things change, as we’ve all experienced in recent years, and so have our business corridors. We don’t have as much retail as we once did here in Hazel Park, but we have others opening up — more service-oriented businesses, like restaurants and bars. And we have more walkability, too, and more bike lanes, because people are more health-conscious today. The walkways and bike lanes slow down drivers, so that they notice these new businesses and visit them.”
Ed Klobucher, the city manager of Hazel Park, said he’s hopeful that a new tenant will take the place of BorgWarner.
“We’re sorry to see (BorgWarner) close. We understand it was a heavily subsidized industry, and that some of those subsidies were drawing to a close. It appears they’re beginning to consolidate their operations elsewhere,” Klobucher said. “So, we get it. But given the attractiveness of the center and the professionalism Ashley Capital displays in its administration of the place, I’m sure the site won’t stay vacant for long. The center has been a thriving place — the tenants there are great corporate citizens, and they’ve added a great deal of economic vitality to the city of Hazel Park.”
