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Depressing news: Mass layoffs at Daniel Defense Login/Join 
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Picture of sourdough44
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Yes, gun sales & Obummer had that symbiotic relationship.

Sorry to hear about the layoffs. I haven't the need to buy lately. The local gunshop is awash in ARs of varying types.
 
Posts: 6491 | Location: WI | Registered: February 29, 2012Reply With QuoteReport This Post
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Picture of ogive40
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Since they were laid off without their cause, a non compete would be null and void.


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Posts: 2230 | Location: NJ | Registered: July 27, 2004Reply With QuoteReport This Post
addicted to trailing-throttle oversteer
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None of this should be any surprise, nor should it shock anyone that more of these kinds of layoffs will follow. Bankruptcies and buyouts should also increase as well. The $500 to $600 name brand AR is the new norm that most consumers are shopping for and expecting.

Rifles like the Sport 2s and AR556s dominate our sales. While even lesser knowns among our clients like Adams Arms smack the 516's behind in the piston world. Our customers generally know that they can upgrade those inexpensive but still highly functional and reliable rifles as their finances allow, or just build one from scratch with the matched set, stripped Aero Precision receivers that sell for barely over $100. We get all sorts of glowing comments on how great that $600 Anderson rifle is that they bought from us, all the while as they're looking to upgrade its plastic handguard to something M-lok or Keymod.

'Cheap with decent to great QC' and 'discounts' and 'sales' are the dominant buzzwords, whereas all those spendy boutique factory guns just give hobbyists ideas for their own creations. Our main buyer won't touch any rifle that retails over $1200 these days unless it offers something unique or unusual, and even then he requires those sorts of features to be standout to some extreme (like the MCX) before he'll consider it for inventory. And even then he and I both recognize that we'll have sold a dozen of those AR556s before a single MCX will have left our bound book. And it's been ages since we last sold a non-AR 5.56 rifle like the X95 Tavor though the SCAR 16 still moves with some regularity, but I think that's due to the pent up demand still being addressed when FNH's somewhat recent episode had anything SCAR-related in 'unobtainium'-mode.

Even with recent events all we've had are a few more phone calls about ARs but no appreciable increase in sales--and LOTS of calls about "dem bump stocks"--which every distributor is completely sold out of and both Slide Fire and Bump Fire have suspended taking additional orders due to 'overwhelming demand', in case anyone is wondering.
 
Posts: 8983 | Location: Drippin' wet | Registered: April 18, 2010Reply With QuoteReport This Post
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I have 2 DD's and purchased both about 2 years ago before prices started skyrocketing...paid right at $1,325.00 each. Colt 6920's were around $1,100.00 at the time if I remember correctly.
The DD's are great firearm but prices seemed to go through the roof the last year. There is a FB Daniel Defense page and lots of people have been complaining that they have been waiting weeks and months for their DD they ordered to come in(I could always find them though)so kind of odd that they are having a layoff...thought the snagged a military contract too.
 
Posts: 1890 | Location: Lake of the Ozarks, Missouri | Registered: August 03, 2010Reply With QuoteReport This Post
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As others have stated - products are too high-priced for the current market.

Very few want to spend $1k+ for an AR these days. Plus the market is saturated with product.

They need to diversify. Maybe handguns / shotguns?? Other defense products like pepper spray, body armor??

Also look at MAGPUL. They make millions on accessories that retail for $15 to $50...

Gotta adapt.

----------------------------------------------


Proverbs 27:17 - As iron sharpens iron, so one man sharpens another.
 
Posts: 8940 | Location: Florida | Registered: September 20, 2004Reply With QuoteReport This Post
Peace through
superior firepower
Picture of parabellum
posted Hide Post
Daniel Defense makes superb cold hammer forged barrels. I have three rifles built around these barrels and they impress me.

But, 2 grand for an AR? No way.
 
Posts: 109647 | Registered: January 20, 2000Reply With QuoteReport This Post
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I'd like to buy a DD but at 1500-2000+ dollars I just don't see spending that much on a AR. I know the DD rifles are great guns but most people looking for AR15 rifles these days are getting budget guns for as little as 400 bucks. Shop in my area has several DD AR15's and all have just been sitting on the shelf for months.
 
Posts: 1758 | Location: USA | Registered: December 11, 2005Reply With QuoteReport This Post
Ice age heat wave,
cant complain.
Picture of MikeGLI
posted Hide Post
quote:
Originally posted by 12131:
quote:
Originally posted by mikeyspizza:
I'm fired!? Fuck you, I'm not signing shit.

They signed it at the start of employment.


LOL. Wouldn't serve much of a purpose otherwise.




NRA Life Member
Steak: Rare. Coffee: Black. Bourbon: Neat.
 
Posts: 9759 | Location: Orlando, Florida | Registered: July 12, 2005Reply With QuoteReport This Post
Raised Hands Surround Us
Three Nails To Protect Us
Picture of Black92LX
posted Hide Post
quote:
Originally posted by parabellum:
Daniel Defense makes superb cold hammer forged barrels. I have three rifles built around these barrels and they impress me.

But, 2 grand for an AR? No way.


This is the only thing about their rifles that set them apart.
Nothing else on them or even the higher quality barrel sets them apart enough to make them worth anything near the price they ask.
When a company starts marketing their stock as beard friendly you know you have issues or you need a new marketing department.
I am a huge fan of their barrels and pistol grips as for their built rifles certainly not worth the price. I'd put a lot of ARs on quality and accuracy of the DD for much less than half the price. My Rock River will do anything a DD will do and I paid $650 for it almost 12 years ago.

I don't find this to be a surprise at all. I think you will see it with a lot of firearms companies especially those that mainly cater to the AR.
I see a bunch of the smaller places going away completely.


————————————————
The world's not perfect, but it's not that bad.
If we got each other, and that's all we have.
I will be your brother, and I'll hold your hand.
You should know I'll be there for you!
 
Posts: 25756 | Registered: September 06, 2003Reply With QuoteReport This Post
Peace through
superior firepower
Picture of parabellum
posted Hide Post
quote:
Originally posted by MikeGLI:
quote:
Originally posted by 12131:
quote:
Originally posted by mikeyspizza:
I'm fired!? Fuck you, I'm not signing shit.
They signed it at the start of employment.
LOL. Wouldn't serve much of a purpose otherwise.
Well, as I said, you could always shout it in defiance as they drag you from the building.
 
Posts: 109647 | Registered: January 20, 2000Reply With QuoteReport This Post
Member
posted Hide Post
quote:
Originally posted by soggy_spinout:
None of this should be any surprise, nor should it shock anyone that more of these kinds of layoffs will follow. Bankruptcies and buyouts should also increase as well. The $500 to $600 name brand AR is the new norm that most consumers are shopping for and expecting.

Rifles like the Sport 2s and AR556s dominate our sales. While even lesser knowns among our clients like Adams Arms smack the 516's behind in the piston world. Our customers generally know that they can upgrade those inexpensive but still highly functional and reliable rifles as their finances allow, or just build one from scratch with the matched set, stripped Aero Precision receivers that sell for barely over $100. We get all sorts of glowing comments on how great that $600 Anderson rifle is that they bought from us, all the while as they're looking to upgrade its plastic handguard to something M-lok or Keymod.

'Cheap with decent to great QC' and 'discounts' and 'sales' are the dominant buzzwords, whereas all those spendy boutique factory guns just give hobbyists ideas for their own creations. Our main buyer won't touch any rifle that retails over $1200 these days unless it offers something unique or unusual, and even then he requires those sorts of features to be standout to some extreme (like the MCX) before he'll consider it for inventory. And even then he and I both recognize that we'll have sold a dozen of those AR556s before a single MCX will have left our bound book. And it's been ages since we last sold a non-AR 5.56 rifle like the X95 Tavor though the SCAR 16 still moves with some regularity, but I think that's due to the pent up demand still being addressed when FNH's somewhat recent episode had anything SCAR-related in 'unobtainium'-mode.

Even with recent events all we've had are a few more phone calls about ARs but no appreciable increase in sales--and LOTS of calls about "dem bump stocks"--which every distributor is completely sold out of and both Slide Fire and Bump Fire have suspended taking additional orders due to 'overwhelming demand', in case anyone is wondering.

Thanks soggy.. interesting to read your posts on the current state of dealers.

How much would be a fair price range for new X95 these days? Was always interested in one but they were in the $1800+ in the past.
 
Posts: 1814 | Location: Austin TX | Registered: October 30, 2003Reply With QuoteReport This Post
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I picked up a DD rifle last month; I have 2 Colt 6920s also. I think my next AR will be BCM. Call me crazy, but I do prefer factory-built complete rifles. When I go to SBR land, I'll probably get a couple factory BCM CQB 11.5s.
 
Posts: 502 | Location: Pennsylvania | Registered: December 27, 2001Reply With QuoteReport This Post
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posted Hide Post
quote:
Originally posted by ogive40:
Since they were laid off without their cause, a non compete would be null and void.


I hope my reading comprehension skills hasn't failed me.

A lot of comments on the original link assumed that non-compete clauses were signed at or just right before termination. I highly doubt that to be the case--one employee was even quoted in the article inferring that he signed at it as condition of his employment at Daniel Defense upon hiring.

As I understand my own non-compete clause, the clause "may" be enforced only on conditions of termination for cause, termination with severance, or quitting the job. (I say "may" because my employer went as far as to say they never pursue issues like this because it's not worth their time or lawyer fees. I'm not holding them to that promise, though!) Termination without cause nor severance will nullify the non-compete clause.

This is very similar to the idea of entering into a contract where one of the signing party has no consideration. You can sign a contract where the one party get something and you get nothing but it won't be enforceable in the event of breach of contract. For instance, if someone dupes me into signing a contract where I give them something and I get nothing, i.e., I give them a sofa for free, the contract is by effect unenforceable if I later realize I was duped and don't give them my sofa. Daniel Defense would have to prove harm (financially or otherwise) to even have a chance at prevailing in a lawsuit. That's how it was explained to me by my lawyer when I had him look over my contract before I signed it.

With regard to Daniel Defense rifles, I love mine and don't regret purchasing them. Even though I don't like the way they handled this, I can't deny that they're fine rifles. I haven't purchased one in a while since there are equal/better options at lower costs. A BCM rifle sits at my beside, BTW. The way they dealt the blow to the employees, however, leaves a sour taste in my mouth and I'm not super-enthused about supporting a company treating their employees as such.
 
Posts: 597 | Location: Louisiana | Registered: September 18, 2003Reply With QuoteReport This Post
Member
posted Hide Post
quote:
Originally posted by saigonsmuggler:
quote:
Originally posted by soggy_spinout:
None of this should be any surprise, nor should it shock anyone that more of these kinds of layoffs will follow. Bankruptcies and buyouts should also increase as well. The $500 to $600 name brand AR is the new norm that most consumers are shopping for and expecting.

Rifles like the Sport 2s and AR556s dominate our sales. While even lesser knowns among our clients like Adams Arms smack the 516's behind in the piston world. Our customers generally know that they can upgrade those inexpensive but still highly functional and reliable rifles as their finances allow, or just build one from scratch with the matched set, stripped Aero Precision receivers that sell for barely over $100. We get all sorts of glowing comments on how great that $600 Anderson rifle is that they bought from us, all the while as they're looking to upgrade its plastic handguard to something M-lok or Keymod.

'Cheap with decent to great QC' and 'discounts' and 'sales' are the dominant buzzwords, whereas all those spendy boutique factory guns just give hobbyists ideas for their own creations. Our main buyer won't touch any rifle that retails over $1200 these days unless it offers something unique or unusual, and even then he requires those sorts of features to be standout to some extreme (like the MCX) before he'll consider it for inventory. And even then he and I both recognize that we'll have sold a dozen of those AR556s before a single MCX will have left our bound book. And it's been ages since we last sold a non-AR 5.56 rifle like the X95 Tavor though the SCAR 16 still moves with some regularity, but I think that's due to the pent up demand still being addressed when FNH's somewhat recent episode had anything SCAR-related in 'unobtainium'-mode.

Even with recent events all we've had are a few more phone calls about ARs but no appreciable increase in sales--and LOTS of calls about "dem bump stocks"--which every distributor is completely sold out of and both Slide Fire and Bump Fire have suspended taking additional orders due to 'overwhelming demand', in case anyone is wondering.

Thanks soggy.. interesting to read your posts on the current state of dealers.

How much would be a fair price range for new X95 these days? Was always interested in one but they were in the $1800+ in the past.


Also, thanks for the insider perspective and the current state of the MSR market. Sad to say that although regrettable, it's not at all surprising. Companies have to become more lean in times like these to survive. I've just read how other companies have dealt with layoffs in a more graceful and compassionate manner. It's a dog-eat-dog world out there and capitalism always wins out. Hopefully the affected will bounce right back on their feet and work for competitors, bringing their acquired know-how with them. It'll only benefit us as we'll get better quality at lower prices.
 
Posts: 597 | Location: Louisiana | Registered: September 18, 2003Reply With QuoteReport This Post
bigger government
= smaller citizen
Picture of Veeper
posted Hide Post
Did tooling up a pistol grip and stock production play a part in swamping the ship?




“The urge to save humanity is almost always only a false-face for the urge to rule it.”—H.L. Mencken
 
Posts: 9184 | Location: West Michigan | Registered: April 20, 2006Reply With QuoteReport This Post
Old Air Cavalryman
Picture of ARMT Guy
posted Hide Post
quote:
Originally posted by Veeper:
Did tooling up a pistol grip and stock production play a part in swamping the ship?


Doubtful.

Probably just a combination of: 1) Building/moving into a new and larger facility, 2) Typical, slow summer sales and 3) A flooded AR market.

I'm sure there are other contributing factors, but those above are the obvious ones.




"Also I heard the voice of the Lord saying who shall I send, and who will go for us? Then said I, here am I, send me."




 
Posts: 7464 | Location: Georgia | Registered: February 19, 2005Reply With QuoteReport This Post
Dances with Wiener Dogs
Picture of XinTX
posted Hide Post
Not the first company that got into fiscal trouble because they didn't adapt to a new paradigm in the marketplace. AR market now is pretty much flooded. There are also now a ton of 'botique' AR builders. Plus a lot of people learned to roll their own during the crunch. Lot of people bought lowers just because they could find them.


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Posts: 8374 | Registered: July 21, 2010Reply With QuoteReport This Post
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