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In an attempt to recover from several quarters of below normal sales. Aileen Incorporated last w*eek cut benefits for employees at the company’s Flint Hill plant.
Manager Wayne Walker acknowledged that workers at the garment factory. Rappahannock County's largest single employer, will not receive their traditional Christmas bonus. In addition. he said, holiday pay is being reduced. Employees will have two days off at Thanksgiving but will be paid only for Thursday and will not get compensation for the week the plant is closed at Christmas. Also, sick leave pay will be dropped at the first of the year. Walker confirmed. He declined to predict when the benefits will be restored but described the action as temporary.
Walker attributed the reduction in benefits to a cash flow problem. "Our cash flow is very bad. We’ve had several bad quarters and we're operating on borrowed money at present. It's not good business practice to give bonuses with borrowed money,” he said.
Despite the drop in benefits, however. Walker maintained that operations at the Flint Hill plant continue to be "very strong in all phases, both cutting and sewing."
The women's line produced by Aileen Incorporated is the company’s "bright spot." Walker said. Two years ago, the line had sales totalling $4 million. Last year, the figure climbed to SS.S million and based on quarter sales, this year’s total for the women's line is expected to reach $7 million. “But our children's line is still a dark spot. Sales have dropped off drastically," Walker said. “With so many people out of work, there's just less buying by the public”
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But bad news for Aileen Incorporated's over-all operations could mean good
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