Home / Knowledge / News / Apparel/Garments / New Era Cap to retain Derby as sole manufacturing facility
New Era Cap to retain Derby as sole manufacturing facility
28
Jan '10
The New Era Cap Company announced a tentative agreement with the Communications Workers of America (CWA) to retain New Era's Derby, NY plant as the company's sole U.S. manufacturing facility. A final agreement is contingent on the Derby employees' ratification of a new contract, which represents operational efficiencies and cost savings. If the agreement is ratified, New Era said it will close its plant in Demopolis, Alabama sometime in the second quarter of this year.

Today's announcement follows New Era's decision last November to consolidate its domestic manufacturing operations in the wake of significantly reduced consumer demand for its U.S.-made products. The company has previously announced the closure of its Jackson, Alabama plant.

"This was an incredibly difficult decision to make," said Christopher Koch, CEO of New Era. "Both our Demopolis and Derby plants are highly efficient and have made enormous contributions to New Era's success over the years. In the end, our decision to keep Derby open was based largely on the need to retain our most senior and experienced unionized employees."

The company also said that selecting Derby would result in less disruption to cap production operations than the Demopolis plant which would require significant renovation if it was to serve as the company's sole U.S. production facility. Employees at both plants are represented by the CWA. The tentative agreement came after weeks of discussions between the CWA and New Era, the company said. New Era also held meetings with local and state economic development officials in Alabama and New York.

"Both Alabama and New York offered generous economic incentives for each plant location and we factored these into our final decision," said Koch. "We sincerely appreciate their efforts." The Derby ratification vote is scheduled for February 2nd. There are currently 351 employees in the Demopolis facility and 330 employees in the Derby facility.

New Era Cap Company

Must ReadView All

Courtesy: Li & Fung

Textiles | On 24th Mar 2017

Li & Fung forms new supply chain partnership with PVH Corp

Li & Fung Limited, the world's leader in consumer goods design,...

Courtesy: Alizilla

Apparel/Garments | On 24th Mar 2017

Alibaba's eWTP finds first overseas base in Malaysia

In a step towards using the internet to bring small businesses around ...

Textiles | On 24th Mar 2017

BJMC to produce cotton-jute blended denim fabrics

To meet demand from the market, Bangladesh Jute Mills Corporation...

Interviews View All

Deepak Jain
Baggout

We are using Facebook and Instagram to promote ourselves

Sanjay Desai & Ashish Mulani
True Colors

Digital textile printing will be the technology of the future

Dinaz Madhukar
DLF Emporio and DLF Promenade

‘Each event and promotion is planned out keeping in mind the business of...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search