By Tony Lucia
Reading Eagle
Ashley Furniture Industries Inc. plans to expand its work force at its Ontelaunee Township plant by 25 percent to 30 percent, the firm said Thursday.
The firm announced its plan prior to a tour of the 1.2 million-square-foot plant and distribution center that it hosted for area business executives and elected officials.
The expansion could mean as many as 215 new jobs at the plant, which employs 726, said Joe Murphy, director of operations.
"We're starting immediately (to hire)," he said. "I would like to see this done by midyear. And right now, the way everything looks, I very well may increase it."
He said the plant ships 1,100 pieces of furniture per week, but wants to step that up to 1,600 pieces per week.
Murphy said the job growth comes as the plant is embarking on an expansion of manufacturing at the facility - the former Ames Distribution Center, which it purchased in late 2004 for $26.75 million in U.S. Bankruptcy Court.
The Ontelaunee plant assembles, manufactures and distributes upholstered love seats, sofas and chairs.
Murphy said Ashley would not seek government funding for the expansion.
"Ashley Furniture is the last standing giant in upholstered furniture in the United States," Murphy said. "No one else in the Northeast manufactures upholstered furniture. Everybody else buys from the people down South and has it trucked up here, or has it made in Southeast Asia. So to do that, we're constantly changing, and trying to develop new things all the time.
"Being No. 1 in North America, we also have very large buying power. Because we buy and move in such large volume, we are able to get price decreases from our suppliers. Plus, our employees work extremely hard and are very devoted. They do a fantastic job meeting the demand."
Noting that Ashley has become one of Berks County's top employers in a relatively brief time span, Murphy praised the Berks community, its economic-development organizations and elected officials for their support.
"When we decided to set up this operation, we looked at the demographics in the area, and what we need to compete," he said. "The community has been very helpful."
He noted that Ashley's growth in Berks has been greater than at some others sites that have only distribution centers.
"To have a distribution center is one thing," Murphy said. "The community grows with that. But when you also have manufacturing, you have probably three times more working for you than you would need at a distribution center. It's a big help when you have both."
He also noted that Ashley gives back to the community through donations to civic organizations and the needy.
"We are a company that cares," said Librado Gonzalez, human resources manager.
Among the attendees Thursday were Ellen T. Horan, Greater Reading Chamber of Business and Industry president and chief executive, who said: "Ashley's phenomenal growth over the past few years gives credibility to Greater Reading's competitiveness. I think our location has been a tremendous asset to Ashley and also the availability and diversity of our work-force skills. The Chamber has been thrilled to see Ashley expand its manufacturing locally and is impressed with the efforts we now see to create the local facility into a model for Ashley operations globally."
Murphy added: "We're going to be in this community for a long time."
Photographer Ben Hasty contributed to this article.
Contact Tony Lucia: 610-371-5046 or tlucia@readingeagle.com.