Portland-based school uniform provider, Dennis Uniforms, has abruptly ceased operations, resulting in the layoff of over 100 employees. The company, a long-standing fixture in the school uniform industry, announced the closure of all its U.S. sites after failing to secure necessary funding to continue business operations. This news marks a significant shift in the school uniform landscape and leaves many schools and families in search of new uniform suppliers.
Founded in 1920 in downtown Portland, Dennis Uniforms initially started as a manufacturer of nurse uniforms. The company transitioned into the school uniform market in 1947, coinciding with the opening of its first retail store. Over the decades, Dennis Uniforms grew to become a well-known name in school uniforms, even gaining recognition for creating the iconic plaid school uniform costumes for the popular 2001 film, “The Princess Diaries.” For many, Dennis Uniforms represented quality and tradition in school attire.
The Dennis Uniform building in Portland, Oregon, showcasing the company’s presence before its closure.
According to a WARN (Worker Adjustment and Retraining Notification) notice dated October 19, submitted to Oregon state officials, Dennis Uniforms interim CEO Lawrence Perkins cited the “faltering company” exception for providing less than the standard 60 days’ notice for mass layoffs. The notice explained that despite diligent efforts to secure additional capital and explore business opportunities to avoid closure, the company was unsuccessful in obtaining the necessary financial resources. This ultimately led to the unavoidable decision to close all Dennis Uniforms locations nationwide, impacting both its Portland headquarters and approximately 40 stores across the country.
The closure of Dennis Uniforms highlights the increasing challenges faced by U.S. clothing manufacturers, particularly in a market dominated by global competition and shifting economic landscapes. For the first seven decades of Dennis Uniforms’ history, a significant portion of clothing purchased in America was manufactured domestically. However, changes in trade policies and the rise of lower labor costs overseas have led to a substantial shift in clothing manufacturing to other countries. This trend has made it increasingly difficult for local clothing producers to compete and maintain profitability.
Dennis Uniforms, while rooted in Portland and family-owned for generations, had undergone changes in ownership in recent years. In 2017, investment firm Spanos Barber Jesse & Co. acquired a majority stake in the company. Further investment came in January of this year from private equity firm Origami Capital, coinciding with the opening of a large distribution center in Fort Worth, Texas. Despite these investments, Dennis Uniforms ultimately faced insurmountable financial difficulties, leading to the current closure.
The front of the Dennis Uniform office in Portland, Oregon, now closed as the company ceases operations.
The situation with Dennis Uniforms is not isolated. It mirrors a broader trend of private equity-backed companies in Oregon experiencing financial instability. The article references Sortis Holdings, the private equity firm behind Sizzle Pie and Rudy’s Barbershop, which is currently facing lawsuits related to unpaid bills and financial troubles. This context raises questions about the role of private equity in the long-term sustainability of established businesses like Dennis Uniforms.
Experts like Angela Jackson, managing director of Portland Seed Fund, note that while private equity firms can bring capital and expertise to help companies improve efficiency and profitability, cost-saving measures often involve staff reductions. This model, while potentially beneficial in some aspects, can also lead to negative consequences for local employment and, as seen with Dennis Uniforms, even company closures. For long-standing companies like Dennis Uniforms, the decision to accept private equity investment is often seen as the best available option at the time, yet it can carry significant risks and potential downsides.
The closure of Dennis Uniforms leaves a void in the school uniform market and raises concerns for the over 100 employees laid off in Portland and across the country. Schools and families who relied on Dennis Uniforms will now need to seek alternative providers for their uniform needs. The abrupt end of Dennis Uniforms marks the end of an era for a company that has been a part of the Portland business community and the school uniform industry for over a century.
