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I saw a story this morning on a local Milwaukee news channel that said Harley has announced temporary plant closures at 5 locations. Those affected are Wauwatosa, WI., Menomonee Falls, WI., Tomahawk, WI., York, PA., and Kansas City, MO. The closures are to begin the week after Thanksgiving and last for one week. Workers will not be paid and health benefits would stay in force. In an interview with the owner of House of Harley Davidson in Milwaukee, the owner stated he didn't understand the move as he has been buying bikes from other dealers since May of this year to supply his demand that he isn't getting from the Motor Co.
 

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I thought it was common for plants to temporarily close? My wife's uncle works for GM and their plants close in June'ish for two weeks. I am guessing they are paid.
 

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Any mention of a Collective Bargaining Agreement being the source for theshutdown? As part of our CBA, the unions at my place shut down for a couple weeks during holiday season and it results in an entire company shutdown.
 

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Don't think that's the case here. Especially if you read what's in the link I posted. It appears as though the company made the decision based on slower than anticipated sales and changed revenue forecasts.

Another question now is how much of an effect the recent contract will have since HOG's costs went up and labor is pretty darned expensive for them. Note that they're already starting to talk about layoffs (as some of us here thought might be posible). But, too early to tell.
 

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I agree with this. Sale are SOFT but not DEAD. It's a way to cut overhead without destroying the employee base. Most guys will look at it as an extended holiday and more time to chase the deer around in the woods.
 

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Its not unusual for manufactoring to do this. Maintaince usually works. I used to hate Christmas, production got it off, and maintenacne had to work 10-12 hour days. We used to wait until the closures to do big upgrades too.

They will get unemployement, if they don't get paid.
 

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from the link

Besides, that week is already a short week when many employees take time off for deer hunting, he said.

Nov. 26 was already scheduled as a nonproduction day for the first day of deer season, said Bob Klein, spokesman for Harley-Davidson.

Several workers said they were told they could choose whether to go unpaid for those four days or use vacation days, personal days or sick time.

He and Wagaman both said new employees who may have been laid off from other jobs may be hurt by the closure more than veterans. Newer employees might not have any vacation time to use, Wagaman said.



Ya but alot of regular employees have used there vacation up in the summer. I kept some for deer season though. If there going to do it, not a bad time to do it.
 

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berserker said:
They will get unemployement, if they don't get paid.
Here is PA (where the York plant is) you can't collect unemployment comp. the first week. Starts second week and thereafter.
 

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This is phase I of their plan, more to come. Some cuts will probably be necessary, probably a 10% reduction in staff. The crazy part is that certain bikes are still hard to come by. I really don't understand why they can't keep come bikes in stock, but others there are plenty.
 

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VtwinJaxFL said:
The crazy part is that certain bikes are still hard to come by. I really don't understand why they can't keep come bikes in stock, but others there are plenty.

I think that accurate inventory control is the holy grail of manufacturing. Many years ago, the big 3 US auto comapanies took some serious lessons from the Japanese (partucularly Toyota and Honda) in this area. Not sure they really ever learned it as well as they should have.

I might guess that part of the current problem is that HD has really never had this issue. In years past, if the dealer didn't have what you wanted, some would wait, others would take something off the floor. The MoCo just kept production full steam ahead.

A lot of reasons, including HD's huge increase in production and the supersizing of many of the dealers, as well the sense that the economy is slowing, have contributed to a slow down.

If this is correct, I wouldn't be surprised if both the Company as well as the dealers are in for (what my dad used to call ) a "rude awakening" to the real world.-2$en#e-
 

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I think they overestimated the number of bikes they were going to sell. That creates the soft market, increases the # of used bikes for sale, and slows the buying of new bikes. The MoCo is positioning to create demand by reducing the amount of new bikes available. Most employees welcome the extra time off. They are union so they should be called back in the event of a layoff.

Remember back when You had to get on a list to get a new bike??? I see things headed back that way....
 

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Habanero Kid said:
Remember back when You had to get on a list to get a new bike??? I see things headed back that way....

I just think after the 03 circus, people are just not buying anymore.:hmmm:
 

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Kind of a double whammy.

First is that the new bikes appear to be quite a bit more desirable to most. The 96" engine and the 6 speed have really hurt esale on the older models. I'm not suugesting the older models aren't any good, or anything, its just that a majority of riders in the market, really want the big motor/new trans.

I say this out of experience, after trying to sell an 02 King, and reading about "deals" on other bikes.

Then, with all this desirability, the new ones still aren't selling all that well?

I just purchased an 07 FXD (Dyna), used, with 3k on it. Perfect. Pipes, some chrome, handlebars. $9995, from a dealer no less (Victory). Ma

Its probably impossible to predict, but the signs aren't good.
 

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Paladin1 said:
Kind of a double whammy.

First is that the new bikes appear to be quite a bit more desirable to most. The 96" engine and the 6 speed have really hurt esale on the older models. I'm not suugesting the older models aren't any good, or anything, its just that a majority of riders in the market, really want the big motor/new trans.



@gree:


I'd add that the market is flooded with used bikes right now. I'm trying to sell my 04 FXST with lots of chrome and custom wheels and I'm not getting any bites at all. I don't think I'm asking for a price out of this world. I see a ton of bikes (03's, 04's, 05's) with very little miles on them. Kinda hard to compete against a bike with 2,000 or 3,000 miles that's the same age as your's when you have 30,000 miles. I guess all the people that bought HD's as a status symbol are now trying to unload them.
 

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Maxum96 said:
@gree:


I'd add that the market is flooded with used bikes right now. I'm trying to sell my 04 FXST with lots of chrome and custom wheels and I'm not getting any bites at all. I don't think I'm asking for a price out of this world. I see a ton of bikes (03's, 04's, 05's) with very little miles on them. Kinda hard to compete against a bike with 2,000 or 3,000 miles that's the same age as your's when you have 30,000 miles. I guess all the people that bought HD's as a status symbol are now trying to unload them.
I think you have an excellent point re: all the used ones and who is selling.

I have the same issue with my Road King. High mileage (by poser standards), why buy it if you can get one with 3-5k on it?

Oh well, they are still cool bikes, and the new ones are getting better:thanks:
 
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