Kern J.G. Enterprise Cuts 156 Jobs in Sterling Heights

The family-owned automotive supplier recently shifted a portion of its business operations to India.

Updated on Oct. 15, 2026 in Manufacturing

Brushed steel automotive drivetrain component sitting on a clean, vast industrial warehouse floor with soft overhead industrial lighting.
Kern J.G. Enterprise Inc. terminated 156 employees in Sterling Heights, Michigan, after moving segments of its powertrain manufacturing operations to India. AI Illustration. Upload story photo >

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Kern J.G. Enterprise Inc. terminated 156 employees in Sterling Heights on August 17, 2026. The company moved segments of its operations overseas to India.

Why it matters

The company, which produces drivetrain, powertrain, and chassis components, cited unforeseeable business circumstances for the layoffs. The move reflects a shift in operations for the long-standing family-owned manufacturer.

Kern J.G. Enterprise maintains a facility spanning nearly 200,000 square feet in Sterling Heights. The firm began in 1967 in Madison Heights with an initial staff of 7 employees.

The players

Kern J.G. Enterprise Inc.

This is a family-owned automotive manufacturing company that specializes in producing drivetrain, powertrain, and chassis frame components.

The details

Kern J.G. Enterprise Inc. produces critical components for chassis frames, powertrains, and drivetrains. The company filed a Worker Adjustment and Retraining Notification with Michigan officials following its decision to relocate work abroad.

Timeline

  1. The company was founded in 1967.

  2. Operations moved to Sterling Heights during the 1990s.

  3. The layoffs took place on August 17, 2026.

Market Landscape

The downsizing follows the broader industry pattern of offshoring critical automotive component manufacturing to international markets. This shift impacts the local competitive environment for specialized automotive parts suppliers within Michigan.

The layoffs represent a significant reduction in the local manufacturing workforce for residents of Sterling Heights. Employees and their families may face immediate challenges regarding job security and the transition of company resources abroad.

The takeaway

Manufacturing companies often reconfigure supply chains in response to shifting global economic conditions. Families in regions dependent on specialized automotive manufacturing may see increased volatility as companies prioritize lower production costs.

Further reading

Learn more about local labor shifts on our Manufacturing page.

Source note: This article includes information reported by The Detroit News.

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