Friday, February 01, 2008

 

LAYOFFS AT NEWMAR

Southbend Tribune
YaVONDA SMALLS
Tribune Staff Writer

NAPPANEE -- Newmar Corp. has joined a growing list of area RV companies that are handing pink slips to workers in light of a slowing economy.

The company, which manufactures motorhomes and fifth wheels, said Thursday that it eliminated 118 positions Wednesday "as a result of the current economic conditions, especially in the RV industry."

Newmar's 905 employees were notified last week that a reduction in the workforce would take place Wednesday.

"The future demand for RV products will affect Newmar's ability to rehire the employees that were affected," the company, located at 355 N. Delaware St., said in a statement.

The layoff comes after Wakarusa's Travel Supreme laid off about 25 of its 230 workers this week. And, a week ago, Monaco Coach Corp. trimmed staff when it laid off 200 workers, the majority at its Wakarusa plant.

Unfortunately, Newmar's layoff also comes on the heels of the F-3 tornado that tore through the town in October, virtually wiping out RV maker Franklin Coach, which employed between 65 and 70 people.

"When things slow down, it's a pretty big domino effect," said Nappanee Mayor Larry Thompson. "But I have to be an optimist."

Everyone understands that what the area's going through is all part of the RV industry, Thompson said. "I don't blame the company," Thompson said. "They have companies to run."

For now, it's best, he said, to just take a deep breath and look back on how good things have been.

"We've had a lot of growth," Thompson said. "A lot of new companies."

From six people in 1968, Newmar in particular has grown to employ more than 900. In 1995, Newmar moved into a new, 116,000-square-foot manufacturing facility considered by many to be one of the most state-of-the-art in the RV industry.

In 2003, a 21,000 square-foot addition was added to this facility to accommodate changes in its products. In the fall of 2004, Newmar announced the opening of its new 144,000-square-foot Chassis, Weld and Assembly Facility.



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