It is the time of year when companies, especially in manufacturing make minor adjustments to employment to meet a temporary decline in demand. Winnebago Industries is doing the same according to Winnebago Industries CEO Michael Happe.
“This week, 25 employees in a couple of departments within north Iowa were asked to take some time off for the next four weeks.” Happe told RV Pro Magazine. “In a manufacturing environment – and one that is undergoing a lot of change at Winnebago in trying to evolve our operations and supply chain practices – there are certain parts of the business that, sometimes, you need to slow down, and certain parts of the business that you need to speed up.”
Happe assured concerned individuals that this move is not a permanent one.
“I know the word “layoff” has been used. In other organizations, the word “furlough” might be used. Our employees used the word “layoff” and I am not going to disrespect that this isn’t serious to those who were impacted, because it certainly is. But, this is not a permanent layoff, it’s a couple of departments where we made some adjustments.
Winnebago Industries currently employs nearly 4,000 people including divisions in other states. The company has grown 40% in size since Happe took over and continues to produce at or above demand level. The 25 affected employees are expected to return in a month to the Forest City plant.
The company will release it’s second quarter earnings shortly, but the temporary reductions will probably play no role in the earnings findings.