Elkhart, Ind. The surprise shutdown of an Elkhart RV plant came as a complete shock Monday to many of the 85 full-time employees now without jobs.
Several workers at the Monaco RV plant on SR 19 in Elkhart tell Newscenter16 they were greeted by two security guards when they reported for work early Monday. They say the guards served them termination papers and asked them to return Tuesday morning to retrieve their personal belongings.
Employees and industry members alike say they were “blind-sided” by the closing. Some estimate an additional 30 part-time workers were fired in addition to the 85 full-time employees.
“I know a sales rep,” said Thomas Alexander of International RV, LLC, a fellow Elkhart RV business. “He says he was completely unaware of the shutdown coming today. It would be a shock to anyone to walk in Monday morning and be told you no longer have a job.”
The plant was owned by Orlando-based Allied Specialty Vehicles.
"There is no change to our other motorized RV business, which is growing and profitable, including American Coach, Fleetwood RV, Holiday Rambler and Monaco," said a statement from ASV obtained by NewsCenter16’s reporting partner The Elkhart Truth. "We will continue to honor our warranty obligations for our towable products."
The Elkhart Monaco plant was a towable production facility. The termination letter received by employees states that the company has decided to exit that market.
“Effective immediately Allied Specialty Vehicles has sold the Elkhart facility which results in an immediate shut down of the Monaco RV Towable facility,” said the letter, signed by ASV Vice President of Human Resources John L. Dreasher.
Employees say they will receive a 60-day severance package starting Feb. 28
Requests for further comment from ASV have yet to be returned.