NAPPANEE — Newmar Corp., a recreational vehicle manufacturer in Nappanee, reduced its workforce April 1.
While the company, which was founded in 1968, did not say how many employees were laid off, it did release a statement.
“Through the first part of the year there has been a softening of sales in certain segments of the Class A motor coach market,” John Sammut, Newmar’s vice president of sales and marketing, said in the statement. “We believe this change in sales has been related to pre-election activity and the fluctuation of the stock market. As a result, the demand for Newmar motor coaches has been lower than the current production rates, which has consequently caused an increase in our dealer inventory.”
The company does not build speculative orders, it said, only those placed by dealers or retail customers. Newmar felt it best to adjust its production rates to match its current demand.
Lower gas prices and a more stable economy have strengthened the RV industry as a whole in the past couple of years. The number of wholesale RV shipments was higher in February than it had been for that month in 39 years, according to a Recreation Vehicle Industry Association report.
“We are seeing solid growth across the board,” said Kevin Broom, media relations director for RVIA. In February, Class C motor home shipments were up nearly 22 percent compared with the same month the previous year, while Class A motor home shipments were up 16.3 percent.