Around the Marketplace: July

The Economy: Where the Jobs are

There are many reasons U.S. companies give for their lack of hiring, but the fact remains that some have boosted employment over the past year while others have not.

Over the past year, private employers have added 1.7 million jobs, but the net result of 659,000 cuts in government jobs – half temporary Census workers – mean total U.S. payrolls were up by only 1 million in that span. That leaves the country with 7 million fewer jobs than when the recession started in late 2007.

There are bright spots, however, some of which have implications for the uniform industry. Here are the highlights, according to the Wall Street Jornal.com:

• Food service has added nearly 216,000 jobs since December 2009, when the industry’s employment bottomed out in the recession. The 2.1% job growth that restaurants have experienced in the year ending June from a year ago is more than twice the nation’s 0.9% job growth rate. McDonald’s alone hired more than 62,000 people on a national hiring day in April.

Growth is expected to continue: industry estimates suggest the sector will add 1.3 million jobs in the next decade.

• Manufacturing has been adding jobs since the start of 2010 due in large part to the sharp rebound in automobile production at General Motors Co., Ford Motor Co. and Chrysler that has filtered to suppliers.

• Employment is also on the upswing in the Fabricated Metals industry. Companies that cut and shape metal for cars, airplanes and other products generally have had a rebound in jobs and orders over the past year, with robust ordering coming from aerospace and medical equipment makers. Employment is up 77,800, or six percent compared to a year ago, according to the Labor Department.

Small Businesses Reluctant to Hire

A survey of small business owners shows a lack of confidence in the U.S. economy. More than two-thirds indicated they do not plan to add payrolls in 2011 or 2012, according to the Wall Street Journal.  

Almost two-thirds of small-business executives surveyed said they weren’t expecting to add to their payrolls in the next year and another 12% planned to cut jobs, according to a recently released U.S. Chamber of Commerce report. Just 19% said they would expand their work forces.

The Small Business Administration says small businesses, defined as companies with fewer than 500 workers, employ about half of the workers in the private sector.

White Paper: Marrying Your Physical and Financial Supply Chains

Rising costs of everything from raw materials to labor to transportation are currently wreaking havoc on the apparel industry’s physical and financial supply chains. In case you missed it, the July issue of Apparel Magazine offers expert advice on keeping costs at bay through the use of partnerships and technology. You can read the entire white paper and download by clicking here.

Company News:

White Swan Brands Welcomes New Northeast Sales Territory Manager

Ray Granda has been named the new Northeast Sales Territory Manager for medical apparel supplier White Swan Brands. The 29-year industry veteran resides in the Boston area, and will assume responsibility for accounts in Massachusetts, New York, Connecticut, Vermont, Rhode Island, New Hampshire and Maine. He can be reached at ray.granda@encompassgroup.net .

Granda replaces Marc Rapport, who retired in June. White Swan Brands is a family of products and programs, with brands that include Fundamentals, META, WS Gear, Fusion, Five Star Chef Apparel, and AMPs hosiery. They are also the manufacturer and marketer of the Jockey™ Scrubs line of scrubs and labcoats.

Applied DNA Sciences Successfully Marks Mission-Critical Microchips for the Department of Defense

DNA Security Solutions Expert Applied DNA Sciences, Inc. has successfully completed a program to DNA mark microchips for the Defense Logistics Agency of the U.S. Department of Defense. Used systematically, DNA marking could prevent counterfeit microchips, which might be defective and possibly dangerous, from entry at any point in the Department of Defense’s supply chain.    

The initial results were so successful that APDN has already been awarded a follow-on contract of almost $1 million to fully engage one of the government’s microchip supply chains. With interim deliverables that must be met, this final phase will include several Original Chip Manufacturers, distributors, board builders, system integrators and the Armed Forces. By including the various supply chain participants, APDN can partner with government and industry to build a forensically secure supply chain from the source to the end-user.

Once marked with DNA taggants, each microchip carries a “built-in” certificate of conformance to ensure authenticity and guard against counterfeiting. Pricing efficiency is attained even with modest volume levels, allowing for an Original Chip Manufacturer to mark entire production runs with minimal costs, yet securing maximum protection. The benefit of DNA marking at the point of manufacture can then be shared by any and all participants in the supply chain through to the end-user, because non-destructive testing allows for absolute distinction between authentic and counterfeit product.  

To learn more, go to www.adnas.com 

Dickies® Signs New Chefwear Licensee

Work wear brand Dickies® has announced a new licensing agreement with LA Triumph, a leading manufacturer, marketer and distributor of chef and hospitality apparel and accessories in the US. This most recent addition to Dickies’ portfolio of licensees allows the work wear brand to deliver a broad spectrum of work wear and work-inspired lines including men’s, women’s, juniors and kids apparel; bags, footwear, belts, socks, medical wear, headwear and sunglasses.

Design and production of the Dickies’ chef and hospitality apparel will begin immediately with marketing and distribution expected to begin in Fall 2011.

For more about Dickies, visit www.dickies.com .

(from NAUMD Industry News, a publication of the North-American Association of Uniform Manufacturers & Distributors ©2011 NAUMD)