Iconic Roadtrek Maker Closes Doors
Erwin Hymer Group Closes Nearly 1,000 Out Of Work Immediately
Mayor Vrbanovic and Mayor McGarry Make A Joint Statement On Plant Closure
“We learned unofficially late this afternoon that Erwin Hymer Group (EHG) North America filed for receivership and all employees were terminated. This is sad news and our thoughts go to the hundreds of employees and their families impacted by this sudden event, especially as they started their Family Day weekend.
Both of us have spoken with Ontario’s Minister of Economic Development, Job Creation and Trade, Todd Smith, and between the province, our local Waterloo Economic Development Corporation and ourselves, we will be doing everything we can to work with the receiver and explore all possible opportunities for the company and its employees. We have also requested that the province activate their Rapid Re-Employment team to assist the workers and their families during this transition and our cities will, of course, assist in expediting this process as well and do all we can to help the impacted workers.
Erwin Hymer Group originally purchased what was Kitchener based Home and Park, then Roadtrek in 2016 and the innovation associated with the Roadtrek brand has been synonymous with leading edge RV's for many years. Since 2016, the company expanded in facilities in Cambridge, and located their North American headquarters there. Started by Jac Hanemaayer in 1974, Roadtrek has long provided employment to hundreds of citizens. We recognize Jac and the dedicated employees of Roadtrek/Erwin Hymer and we thank them for their contributions to our region.
Financial Irregularities Found
In early January, the company laid off 100 workers and suspended several senior managers. A $3.1-billion takeover of its parent company Erwin Hymer by U.S.-based Thor Industries was also delayed amid an investigation into financial “irregularities.” There were also reports some senior executives were fired.
The revised deal, which closed February 1, cut the company’s Cambridge-based operations out of the deal, and shaved $254 million off the purchase price.
The Cambridge plant produced the Roadtrek series of camper vans and Hymer-branded vehicles and trailers for the North American market.
While today's outcome is obviously shocking news to those impacted, what might offer some additional hope to these affected employees and their families is that our region does have a strong, robust economy and there are many other manufacturers and companies in our area which are currently looking for new employees. Anchored by Toyota, and hundreds of companies in our automotive industry, our region boasts a diversified advanced manufacturing sector and we remain confident in Waterloo Region’s strength and future outlook
We are a resilient community, and as a community we will work through this together.”