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Vans Drives Employment Gain Among Local Clothing Makers

Clothes inspired by surfing and skateboarding helped drive jobs at the biggest apparel companies in Orange County during the past year.

The group of 25 companies saw local workers jump 8%, or by 778 people, to 10,791. Skateboard shoe and clothing maker Vans Inc. drove the gain by moving its headquarters to Cypress from Santa Fe Springs.

Without No. 5 Vans, the 24 other apparel makers on this year’s Business Journal list edged up local employment by 4% to 10,189 people.

Including Vans, companywide workers grew 5% to 34,663 people.

The list ranks companies by workers in OC.

Vans, part of Greensboro, N.C.-based clothing maker VF Corp., has been ramping up its clothing business during the past two years, spokesman Chris Overholser said.

Vans’ OC worker count grew 155% to 602. The gain doesn’t reflect actual hiring but rather the move of the company’s headquarters staff to the county. A year ago, Vans had 236 workers here at its stores across the county as well as a skate park in Orange.

Earlier this year, Vans shifted the bulk of its workers from its Santa Fe Springs offices to a 104,000-square-foot building in OC. Some employees, who design snow clothes such as snowboarding jackets and pants, came from Vans’ San Leandro office.

“Apparel has been a big push for us since our purchase by VF” in 2004, Overholser said.

The company’s total employees rose 16% to 2,888 people.

Bringing Vans’ base back here is a homecoming for the company. It got its start here and left about 10 years ago.

Vans now handles product design and development, sales, marketing and human resources from Cypress.

The new digs are pimped out: artwork, an indoor skate park and a swanky lounge for sponsored professional athletes to hang out.

The bulk of the companies on this year’s list are privately held and declined to disclose revenue figures.

Sales were up among the majority of companies that did. They grew revenue 35% to $5.1 billion.


No. 1 Again

No. 1 St. John Knits International Inc. again led the list.

The apparel maker, known for upscale knit suits worn by affluent women in their 40s, 50s and 60s, saw local workers jump 5% to 2,438. Companywide employees were flat at 3,700.

The company has been ramping up its local manufacturing after a period of cutting back, according to Bruce Fetter, St. John’s chief operating officer.

There have been more knitters, sewers and other production workers hired because of St. John’s “conscious decision” to bring back work that was previously outsourced, he said.

The company, which recently brought on a new chief executive, has been working hard to revamp its offering, update boutiques and woo back faithful wearers after alienating some with a focus on younger women.

The new fall collection included updated versions of St. John’s signature knit suit skirts and cropped jackets.

The company has seen an uptick in sales at St. John boutiques and stores that sell the brand, Fetter said.

No. 2 Huntington Beach-based Quiksilver Inc., which makes surf, skate and snow clothing and garb, grew its local workers 5% to 1,755. Companywide staff was up 7% to 9,960.

The company added workers across the board. Merchandising and design and Quiksilver’s retail departments saw the biggest boosts.

Quiksilver continues to expand its offering, which has led to some additional hires. The company recently said it plans to launch women’s clothing under the Quiksilver brand.

The apparel maker is also looking at options for its struggling Rossignol division, including selling it. Reports have said three investment firms have an eye on Rossignol, a maker of skis, snowboards and related garb.

No. 3 Foothill Ranch-based sunglass maker Oakley Inc. grew its local staff 8% to 1,432. Companywide workers were up 11% to 3,741.

The company increased its staff “fairly equal” among all departments, spokesman Gar Jackson said.

Among those to get a boost: clothing, particularly in men’s and women’s.

“We are definitely in hiring mode,” said Lance Allega, director of investor relations and corporate communications. “We currently have more than 150 positions open from manufacturing to finance to design and everywhere in between.”

Oakley is set to be bought by Italy’s Luxottica Group SPA. The deal is set to close in the fourth quarter.

In all, there were 12 companies that posted increases and six estimates for companies that declined to give figures.


Other Gainers

Big gainers beside Vans included No. 11 Volcom Inc. in Costa Mesa, which posted a 12% increase in local workers to 240. It grew its companywide headcount 38% to 423.

Volcom, which makes clothes inspired by skate, surf and music, continues to expand its offerings, with sandals, slip-on shoes and girls’ swimwear.

It’s also ramped up its European operations. The company is building a headquarters in France to take over distribution of its clothes in Europe, which before was done by licensees.

No. 10 La Jolla Group Inc. in Irvine, which makes clothing and accessories for Lost, Rusty and O’Neill under license, saw OC workers increase 18% to 295.

In the past year, the company brought on a president for Lost, restructured and hired staff for the brand, particularly in art and sales.

There were two companies that posted dips. No. 21 Paul Frank Industries Inc. in Costa Mesa was down 20% to 108 people. Companywide employees were down 13% to 161.

Cuts were made across the board as Paul Frank restructured and fine-tuned operations, a spokeswoman said. The company is getting ready to launch clothes for infants and “tweens,” or kids ages 9 to 12, next year.

No. 23 Rip Curl Inc. in Costa Mesa posted a 15% decrease in OC workers to 85. The company has spent the past year restructuring under new Chief Executive Kelly Gibson.

He’s revamped operations, and brought in executives and other staff in several departments, including design and men’s clothes.

The other newcomer to the list, No. 20 Lifted Research Group in Lake Forest, posted a 25% gain in workers to 125. LRG, as the company is known, designs clothes targeting the hip-hop and skateboard crowd.

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