Peterbilt’s parent company, Paccar, says it will permanently close its truck plant in Madison, TN, where the workers are UAW members, and move the work to its nonunion plant in Denton, TX. The Madison plant stopped making trucks in July 2008 when union contract talks broke down.

The Nashville Business Journal quotes a Peterbilt official as saying the plant’s permanent closure is due to falling demand for new trucks and not because of labor problems.

However, a UAW official says the union believes the company is moving the work to Denton, which is a nonunion plant.

The Tennessee plant laid off its remaining 313 workers last summer. It employed more than 1,000 workers three years ago.