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$607K grant to help former boat workers
By Britt Johnsen • bljohnsen@stcloudtimes.com • February 12, 2009

LITTLE FALLS — The parent company of a Little Falls boat maker has laid off employees, and more than $600,000 in government grant money is aimed to help those workers return to work.


Lake Forest, Ill.-based Brunswick Corp. laid off 115 employees at its plants in New York Mills and Little Falls, according to Minnesota’s Department of Employment and Economic Development. A company spokesman did not return calls Wednesday seeking more details about the layoffs.

A $607,400 grant will be used for the dislocated worker project, according to DEED.

The state- and federally funded program helps laid-off workers find employment.

It also offers services such as education on layoff survival, how to live with a reduced budget, interviewing for a job and resume writing, according to DEED.

The project already has begun, said Jason Cummings, who works at Rural Minnesota Concentrated Employment Program, a nonprofit that is helping the recently laid-off workers get the information they need.

In July, Brunswick announced it planned to slash $300 million from its budget, close four plants and lay off 1,000 workers. It didn’t say what plants it would close.

Brunswick’s net sales were down 21 percent in the third quarter, according to the most recent company information available. Its boat group — which includes brands such as Crestliner, Lund and Lowe — is the largest in the world in terms of sales and unit volume of recreational boats, according to a document filed with the Securities and Exchange Commission. Its boat group in 2007 had net sales of nearly $2.7 billion, according to documents.

Among the global manufacturer’s other products are bowling, billiards and fitness equipment.

Brunswick isn’t the only boat company laying off employees. Last month, Little Falls boat maker Larson, Glastron and Seaswirl laid off employees, but it wouldn’t say how many. Several calls to the company for more information have not been returned. But the business saw a 30 percent drop in orders, consistent with industry trends, the company’s president, Al Kuebelbeck, told the Times in January.

In December, pontoon-maker Weeres Industries Corp. laid off 29 of 38 employees. Crystal-Pierz Marine closed its St. Cloud store in July.

The most recent data available show an unemployment rate of 7.2 percent in Stearns and Benton counties. Economists say that number is likely to continue climbing.