Harley Davidson will lay off 40 employees in Wisconsin

CHICAGO (Reuters) – Harley-Davidson Inc. has laid off 40 employees of its general merchandise division in Milwaukee as part of a restructuring exercise, a company official said.

In a response sent by email to Reuters, the motorcycle manufacturer confirmed the layoffs but did not release the details. Harley said he was reorganizing the division to handle his business with "concentration and discipline."

The freight division accounted for about 5% of the company's revenues last year. However, sales have been falling since 2015. In the first half of this year, the unit has recorded a 4.2% year-over-year decline in its sales figure.

Harley is struggling with weak demand in the United States, which accounts for more than half of its sales. Declining sales forced the company to lower its forecast for motorcycle deliveries for the year.

The head of the company said the layoffs would have no impact on workers in its manufacturing division.