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Palliser conducts first layoff

By Furniture Today Staff -- Furniture Today, April 13, 2003

Palliser Furniture has laid off 160 employees here, the first time the company has had to shed workers.

The move reduced the workforce by about 3%, although as many as 85 may be hired back in September. The case goods and upholstery producer is the largest private-sector employer in Manitoba.

Art DeFehr, president and chief executive officer, attributed the layoffs to a sluggish U.S. market, made worse by the war in Iraq. "We're facing a very competitive international environment and a serious erosion of confidence in our industry, in the U.S. market, over the past couple of months," he said.

Peter Tielmann, vice president of marketing and business development, said Palliser still anticipates growth this year and may end up hiring more people than it laid off.

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