Decatur RV plant cutting 50 jobs

May 12, 2015 1:03 AM

Decatur RV plant cutting 50 jobs

Market conditions' blamed as industry sales grow

Paul Wyche The Journal Gazette

Allied Recreation Group is blaming “seasonality and market conditions” for eliminating more than 50 hourly full-time workers at its Decatur plant – even though first-quarter sales in the RV industry rose 8 percent.

A spokesman for the company said Monday the job cuts are manufacturing positions that paid at least $14 an hour.

Allied Recreation Group makes the Fleetwood RV brand and is a subsidiary of Allied Specialty Vehicles of Orlando, Florida. The company lists its annual revenue at $1.7 billion. It has 23 brands under its umbrella and 5,600 employees nationwide, including Michigan, North Carolina, Florida, Texas and Kansas.

Allied Recreation employs 1,100 workers in Decatur.

Decatur Mayor John Schultz said he understands the reasons for the job reductions, but that doesn’t make it any easier to digest.

“Any layoffs are not good,” Schultz said. “I do know that companies have to make adjustments based on seasonal factors and their production schedule.”

Shares of RV manufacturers are entering a period characterized by seasonal weakness, even as sales are rising. If the decadelong market pattern holds this year, it could present an opportunity for bullish investors, industry watchers say.

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