Archive Corp. said last week it will lay off nearly 200 factory workers at its Costa Mesa electronics assembly plant in March and April as it transfers work to lower-paid employees at its Singapore plant.
The company cited the economies of the Singapore facility as a major reason for record earnings of $1 million in its recently concluded first quarter.
D. Howard Lewis, chairman and chief executive, said the layoff, affecting about 40% of Archive's total Costa Mesa work force, will be the largest in the company's history. Following the layoff and work transfer, about 80% of Archive's manufacturing will be handled at the 2-year-old Singapore facility.
Lewis said the shift to offshore production, a popular move by cost-conscious electronics companies throughout the country, was necessary for Archive to remain competitive. When the layoffs are completed in April, Lewis said, about 300 workers will remain in Costa Mesa.