Jennifer Peryam, Times-Union Staff Writer

Harsh economic times have caused Warsaw's R-Vision Monaco Coach manufacturing plant to lay off 398 employees and Monaco Coach Corp. could close.

R-Vision is a division of Monaco Coach and is located at 2666 S. Country Club Road in Warsaw. It is a motor coach-manufacturing plant.

A notice dated March 3 posted on the Indiana Department of Workforce Development Web site said 398 employees were permanently discharged beginning March 2.

It also stated 515 workers will be affected including operations in Milford and Wakarusa.

Kosciusko County's unemployment rate is currently at 14 percent, a two point jump from December's 12 percent unemployment figure.

Monaco announced in July it was closing the Wakarusa plant and plants in Elkhart and Nappanee in September, laying off 1,400 workers.

The notice on the Workforce Development Web site states if the company can't find additional financing or a buyer that it has been looking for it could close both operations. That would mean cutting 2,200 jobs.

The notice was signed by Rich G. Kangail, vice president of human resources.

The site said Monaco is hopeful that some or all of its operations may still be preserved and operations and jobs continued.

It also stated the recession has been particularly hard on motor home manufactures and record gas prices in the first part of last year greatly affected motor home sales. It also said the credit crisis also has made it tough for dealerships and customers to borrow.

Warsaw Mayor Ernie Wiggins said he learned of the layoffs last week.

"It's never good news when jobs in the county are lost and it is disappointing that those job opportunities are gone now," Wiggins said.

State Representative Dave Wolkins' son Matt Wolkins, Winona Lake, who had been employed at R-Vision for five years, as a purchasing agent was laid off Dec. 19.

Matt was notified Dec. 12 that he would be laid off and company officials said he would report back to work Jan. 12, but that did not happen and layoffs continued.

"When they tell you that you will go back to work you don't look for a job, but now I am," Matt said.

Matt had an assistant buyer who worked under him and a head receiver and four receivers who also were let go.

He said he has not been able to find a job since being laid off and is without health insurance.

He said he saw employees who had worked in the production division for 10 years at R-Vision who were let go.

Dan McPherson, Etna, Green, had worked for R-Vision for 11 years as an assistant purchasing head receiver and was laid off Dec. 13 and is still looking for a job.

"Everybody is hurting in the manufacturing industry, but I hope Monaco Coach can get the finances it needs to put people back to work," McPherson said.