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Author Topic: Federal Cartridge lays off production workers...  (Read 1099 times)

RMc

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    mqondo

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    Re: Federal Cartridge lays off production workers...
    « Reply #1 on: March 08, 2017, 12:02:17 AM »
    I would buy more if I could. In my area, .22 ammo is still overpriced. Cheapest being $35 a brick. Some places still have it for $60 a brick. I would gladly stock up on .22 ammo if it wasn't so much.
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    Kaso

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    Re: Federal Cartridge lays off production workers...
    « Reply #2 on: March 08, 2017, 12:37:26 AM »
    .22 rimfire is not a money maker for the ammunition manufacturers.  So long as they are selling every round of rimfire that they make, lowering prices would not make sense.  Now, if the market starts getting flooded with it...  Then they will just stop making it for a while.  Not being their bread and butter, lowering prices while still continuing to manufacture it would be foolish.

    I think the American gun owner just needs to come to terms with what rimfire costs to make and be profitable.  That number is more than what it used to be sold for. :shrug
    Donald J Trump, by the Grace of God: 45th president of the United States.
    20 January 2017, 12:01pm
    Here's to a great four years!

    Kaso

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    Re: Federal Cartridge lays off production workers...
    « Reply #3 on: March 08, 2017, 12:57:03 AM »
    Per the OP, this really isn't as bad for Federal as it appears at first glance.  They laid off 110 of 1430 employees.  I can say first hand, when factories are running at full output, some... less than ideal... employees tend to be retained, simply because the company needs every one of them to keep up with demand.  Once the tempo slows a bit, (at least in my industry) the factory foreman starts going through the list of bad eggs that he has known about for some time.  I have seen this happen more than once.

    After eight full years of unprecedented demand, the firearms industry has finally caught the short end of the stick.  Federal has laid off what amounts to 7.5% of one factory's work force.  Going only by percentages, I would guess that more than half of those fired were the known bad eggs.  The others were doubtless the lowest-performing of those who remained.  As bad as this sounds, Federal will be a stronger company for this cutting of the fat.

    On the other side of the coin, I know of some in my area who work on the coal industry, who were actively looking into other lines of work before the election.  It was widely known that an HRC presidency would have been the final nail in the coffin of the coal industry.  Now these same people are making big ticket purchases because of their new job security.
    Donald J Trump, by the Grace of God: 45th president of the United States.
    20 January 2017, 12:01pm
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    lesptr

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    Re: Federal Cartridge lays off production workers...
    « Reply #4 on: March 08, 2017, 10:28:06 AM »
    As long as it is not a union shop, you are correct. If unionized, the layoffs will be the ones with the least seniority. Unions protect the bad eggs, I see it everyday. (Yeah, I am a union member who sees no use for the union. I don't participate, but I'm forced to pay dues).


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    MTK20

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    Re: Federal Cartridge lays off production workers...
    « Reply #5 on: March 08, 2017, 10:32:34 AM »
    As long as it is not a union shop, you are correct. If unionized, the layoffs will be the ones with the least seniority. Unions protect the bad eggs, I see it everyday. (Yeah, I am a union member who sees no use for the union. I don't participate, but I'm forced to pay dues).


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    You sound just like my Grandmother. She used to do factory work up north and she said the exact same thing, that she always saw them when it was time for union dues, but she never saw them protect anyone but the a______s.
    Texas
    Do we forget that cops were primarily still using 6 Shot Revolvers well through the mid 80's? It wasn't until after 1986 that most departments then relented and went to autos.
    Capacity wasn't really an issue then... and honestly really it's not even an issue now.
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    RMc

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    Re: Federal Cartridge lays off production workers...
    « Reply #6 on: March 09, 2017, 12:42:50 PM »
    « Last Edit: March 09, 2017, 01:02:16 PM by RMc »
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    First Shirt

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    Re: Federal Cartridge lays off production workers...
    « Reply #7 on: March 09, 2017, 10:49:23 PM »
    Yesterday, I picked up three boxes of Federal Auto-Match .22 LR ammo, at the Walmart in town.  I could have gotten six, if I'd been thinking, since the limit was 3 per customer.  The sticker price was $17.99/box (325 per box).  I've been paying $21.99/box for them (limit 2 per customer) at my local powder distributor.  (Who  has any powder that I want, for a little above "stealing it" prices.)
    Alabama"Stand your ground!  Don't fire unless fired upon, but if they mean to have a war, let it begin here!"  Capt. John Parker

    Mississippi556

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    Re: Federal Cartridge lays off production workers...
    « Reply #8 on: April 10, 2017, 07:49:48 AM »
    The Remington job losses may be mostly due to shifting more production to the new plant in Alabama and the hostile to 2A political climate in New York.  Big Green, which I used to really like before being acquired by Freedom Group, might improve sales if it started to give a hoot about quality control.

    As to Federal, ammo manufacturing is both cyclical and dependent on raw material costs.  The price of lead has soared, and there are environmental issues they have to contend with.  Its a vicious circle, as the higher manufacturing cost cuts into profits and requires them to raise price.  Faced with higher prices, we shoot less.
    Mississippi"When a strong man, fully armed, guards his own palace, his goods are safe"  Words of Jesus, Luke 11:21 (ESV).

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