GWINNER, N.D. (NewsDakota.com/KFGO) – A union leader says layoffs are likely at Bobcat Manufacturing plants in North Dakota and Minnesota, a claim the company disputes.

The President of Local 560 of the United Steelworkers union told KFGO News Tuesday night that the company has informed the union that it has received approval to build a manufacturing plant in Mexico.

Cody Parrow said it will mean the loss of between 300 and 500 jobs, mostly in Gwinner, North Dakota. Parrow said other jobs will likely be cut in Bismarck where engines are produced and in Rogers, Minnesota where cabs and tailgates are manufactured for Bobcat’s M Series line of skid steer and front-end loaders. Parrow said the pay range in Gwinner is between $31.00 and $34.00 an hour. He said labor costs in Mexico would be much lower.

Doosan Bobcat, with it’s US headquarters in West Fargo, in a statement issued late Tuesday night, said it is exploring workforce challenges and facility constraints and identifying ways to support quality employment opportunities.

The company’s Nadine Erckenbrack said there are no current plans to lower employment levels at its plants and it continues to have open positions to fill. Erkenbeck said she doesn’t know where the union official got the information about the purported job losses.