Monday, June 30, 2008
TIFFIN PLANNING LAYOFFS
RV Business
Monday, June 30, 2008
Red Bay, Ala.-based Tiffin Motor Homes Inc., a major player in an industry that has been battered by rising gasoline prices, has told state officials it plans to lay off nearly 100 workers.
The Birmingham News reported that General Manager Tim Tiffin on Friday (June 27) confirmed a filing the company made with the Alabama Department of Economic and Community Affairs that said it plans to reduce its work force by 99 positions.
"It's been a rough six months," he said of the company founded in 1972 by his father, Bob.
Tiffin Motor Homes has 800 employees, Tim Tiffin said. "We've had to make some adjustments," he said, declining to comment further on the issue.
The company will be hosting its national dealer meeting July 21-23 in Branson, Mo. Tiffin produces luxury gas- and diesel-powered Class A motorhomes under the brand names Allegro, Allegro Bay, Phaeton, Allegro Bus and Zephyr.
Tiffin's planned layoffs come at a time when soaring gasoline prices have caused sales of motorhomes to plunge. Gasoline prices have risen 27% over the past year, averaging nearly $4.07 a gallon nationally Friday vs. $2.98 a year ago, according to AAA.
While Tiffin adjusts to the challenges facing the motorized sector, an Alabama dealer told the Birmingham News that trailers are still selling.
Burton Campers Sales Manager Mickey Price, which sells and services RVs in Calera, said his company has seen steady sales because it deals mostly in small trailers and campers that drivers can hitch on the back of their truck or SUV.
"Our motorhome sales are off a little bit, but over the last six months our sales are up 27% over last year as people turn to the smaller models," he said.
Price said the RV industry will survive. Certain segments will continue to shell out big bucks for the luxury of RVs.
"For many people, camping is a way of life," he said. "They may not go as far or stay as long, but people wanting to save money from hotels or enjoy nature will always buy RVs."
Jan Giangrosso of Cruise America in Gardendale, which rents large RVs, said her company's business has dropped in recent months as gasoline approached $4 a gallon.
"Rentals are a little slow for both RVs and our Penske trucks," she said. "It's all gas-driven. That wasn't a concern back in 1994 when we opened and gas was so much cheaper."
Monday, June 30, 2008
Red Bay, Ala.-based Tiffin Motor Homes Inc., a major player in an industry that has been battered by rising gasoline prices, has told state officials it plans to lay off nearly 100 workers.
The Birmingham News reported that General Manager Tim Tiffin on Friday (June 27) confirmed a filing the company made with the Alabama Department of Economic and Community Affairs that said it plans to reduce its work force by 99 positions.
"It's been a rough six months," he said of the company founded in 1972 by his father, Bob.
Tiffin Motor Homes has 800 employees, Tim Tiffin said. "We've had to make some adjustments," he said, declining to comment further on the issue.
The company will be hosting its national dealer meeting July 21-23 in Branson, Mo. Tiffin produces luxury gas- and diesel-powered Class A motorhomes under the brand names Allegro, Allegro Bay, Phaeton, Allegro Bus and Zephyr.
Tiffin's planned layoffs come at a time when soaring gasoline prices have caused sales of motorhomes to plunge. Gasoline prices have risen 27% over the past year, averaging nearly $4.07 a gallon nationally Friday vs. $2.98 a year ago, according to AAA.
While Tiffin adjusts to the challenges facing the motorized sector, an Alabama dealer told the Birmingham News that trailers are still selling.
Burton Campers Sales Manager Mickey Price, which sells and services RVs in Calera, said his company has seen steady sales because it deals mostly in small trailers and campers that drivers can hitch on the back of their truck or SUV.
"Our motorhome sales are off a little bit, but over the last six months our sales are up 27% over last year as people turn to the smaller models," he said.
Price said the RV industry will survive. Certain segments will continue to shell out big bucks for the luxury of RVs.
"For many people, camping is a way of life," he said. "They may not go as far or stay as long, but people wanting to save money from hotels or enjoy nature will always buy RVs."
Jan Giangrosso of Cruise America in Gardendale, which rents large RVs, said her company's business has dropped in recent months as gasoline approached $4 a gallon.
"Rentals are a little slow for both RVs and our Penske trucks," she said. "It's all gas-driven. That wasn't a concern back in 1994 when we opened and gas was so much cheaper."
