Chattanooga Group, a division of DJO Incorporated (DJO), has planned to shut its Hixson plant and lay off more than 300 jobs. The plant will stop manufacturing in the coming nine to 12 months, a company spokesman said. Manufacturing will be moved to DJO’s operations in Mexico while customer service will be moved to Vista, California, and distribution will shift to Indianapolis, according to the spokesman.
“It’s a tough decision to make,” Mark Francois, director of corporate communications & investor relations of DJO said about the Adams Road facility. “It’s all about streamlining and cutting costs.”
DJO’s Chattanooga division suffered because of the ongoing integration of its parent company’s operations.
DJO Chattanooga’s Hixson plant probably will be put up for sale, Francois said.
DJO is a US-based company providing orthopedic devices, with products used for rehabilitation, pain management and physical therapy. The company also develops, manufactures and distributes surgical reconstructive implant products.