RV maker Fleetwood continues to slash hours of 443 workers in Decatur

Greater Fort Wayne Business Weekly

Bankrupt recreational-vehicle manufacturer Fleetwood Enterprises has been reducing the hours of the majority of workers at its Decatur motor-home plant to half time or less for the past five months, and expects to continue to do so at least through April.

The work-time reductions have affected 443 workers at the plant, which is virtually everyone who remains. The mobile-home and manufactured housing company permanently eliminated 170 jobs at the plant March 13, just days after filing for Chapter 11 bankruptcy protection.

The Riverside, Calif-based company filed a Worker Adjustment and Retraining Notification (WARN) Act notice with the Indiana Department of Workforce Development Wednesday. The law requires the filing when employee work hours are reduced more than 50 percent each month during a six-month period.

The reduced hours began in November. "We regret that it has become necessary to continue this reduction in work hours, extending through at least the month of April and possibly May," a letter to employees read.

The letter said that Fleetwood would continue paying for health insurance coverage, less employee contributions, and regular hourly wages through May 31. After that time, should further layoffs be necessary, employees would have the right to continue health coverage under the Consolidated Omnibus Budget Reconciliation Act (COBRA).

Fleetwood closed its five travel-trailer manufacturing and service sites, including a plant in Edgerton, Ohio, almost simultaneously with its March 10 bankruptcy filing. About 175 workers at the Edgerton facility lost their jobs.

Although it is exiting the trailer business, Fleetwood said it plans to continue operating its motor-home and manufactured-housing divisions while it seeks buyers for those operations.

Thus far, Fleetwood's housing plant in Garrett, which employs 81 workers, has not experienced any job cuts as a result of the bankruptcy.