The fire started at the Eaton Corp. building, located near East 39th Street and Yost Avenue, around 10 a.m.
Eaton had discontinued operations at the building, but employees and contractors were on site disassembling and removing equipment, authorities say.
While an employee was using a plasma cutter to cut metal, built-up oil residues ignited, according to officials.
The fire was contained by the building’s sprinkler system until crews arrived to completely extinguish the flames.
Before the sprinklers went off, fire officials said an employee pulled the fire alarm, and all six employees in the building evacuated.
No one was injured in the fire.
The Hastings Fire Marshal did issue two citations for failing to follow a hot work permit, directly resulting in a structure fire, authorities say.
Hastings Fire & Rescue said a similar incident happened at the factory on Jan. 6.