Almost 1,100 positions at Sacramento’s Aerojet Rocketdyne are expected to be relocated or eliminated as the company consolidates its facilities over the next two years.
Aerojet calls the move part of its “competitive improvement program (CIP),” which was launched in 2015.
This next phase includes the “consolidation and optimization of Aerojet Rocketdyne facilities over the next two years,” according to a press statement released Monday.
The company plans to consolidate its Sacramento and Vernon, California facilities as well as its Gainesvill, Virginia facility as well while expanding its existing presence in Huntsville, Alabama.
“This expanded CIP effort is expected to result in $230 million in annual savings once complete, inclusive of the $145 million from the first phase of CIP,” said Aerojet Rocketdyne CEO and President Eileen Drake.
Sacramento’s defense-related program management, engineering and related support positions will be moved to the company's Huntsville facilities by the end of 2018. The majority of the remaining programs and support positions will be relocated to the company's Space headquarters in Los Angeles.
Between now and the end of 2019, the company will complete its manufacturing commitments in Sacramento, and the site will become the Shared Services Center of Excellence.
In total, approximately 1,100 of the existing 1,400 positions in Sacramento are expected to be relocated or eliminated.