Clean Energy Incentives Allow Simonton Windows to Rehire 400 Employees

Simonton Windows, a producer of vinyl windows and doors, announced in early August that it had extended offers to rehire all 402 seasonal and full-time workers—263 in West Virginia and 139 in Illinois—who were laid off by the company last winter, and that it is set to hire 55 additional employees in the near future.

The Parkersburg, West Virginia-based company manufactures several lines of energy-efficient windows and doors that have been in high demand this summer. While window installation typically peaks during the second and third quarters of the year, Simonton’s popularity boost can also be attributed to an energy efficiency tax credit in the American Recovery and Reinvestment Act of 2009.

“We have definitely seen a consistent increase over time of homeowners wishing to purchase energy efficient windows,” said Kathy Ziprik, spokesperson for Simonton Windows. “As consumers become more educated about the benefits of energy efficiency, we have seen an overall increase in sales.” These benefits are now available to customers in the greenest way possible: cold hard cash.

Under the American Recovery and Reinvestment Act (ARRA), the federal government grants a 30 percent tax credit of up to $1,500 per household for homeowners to make energy efficiency improvements. Shortly after the ARRA passed in early 2009, Simonton introduced a set of Energy Tax Credit (ETC) packages for doors and windows. All of Simonton’s ETC packages qualify because they meet the government’s minimum energy efficiency standards. The homeowner receives the credit by sending in the receipt for their energy-efficient products with their annual tax return.

Several states have implemented additional incentives in order to encourage residents to purchase energy efficient products. Texas, Virginia, Vermont, Georgia and West Virginia have created Energy Star sales tax holidays, during which the state’s sales tax is waived for Energy Star-certified products. According to Ziprik, the sales tax holidays have had a positive impact on Simonton’s sales, a trend she expects to continue.

Distributors of Simonton Windows nationwide are reporting overall sales on par with those of 2008–a significant accomplishment given today’s economic climate. Customers see this as an ideal time to replace old windows and doors – not only will they receive a tax credit at the end of the year, but they will continue to see savings every month on their utility bills.

Simonton Windows was founded in 1946 as a manufacturer of aluminum windows and doors. The company switched to vinyl in the 1980s because of the material’s superiority in quality and efficiency, and has been an Energy Star company since 1999, meaning that all of the company’s products meet or can be ordered to meet the strict energy efficiency standards set by the Environmental Protection Agency and the U.S. Department of Energy. Simonton’s vinyl windows are not only more energy efficient, they require three times less energy to manufacture than those made with aluminum or steel. Simonton also uses recycled pre-consumer vinyl in its products.

“The most important part of the window for energy efficiency is the glass package,” said Ziprik. “If you take a solid piece of glass and put it on the window, the sunlight is going to travel straight through it.” Instead, Simonton windows are made of two panes of glass with a layer of dense Argon gas (which is six times denser than air) in between. This prevents energy loss by resisting the sun’s ability to penetrate through the window. Another available energy-saving option is “Low E glass.” Low E glass has a transparent coating that prevents penetration of long-wave infrared energy, thereby providing further insulation. Simonton also recently launched a stainless alloy spacer system, as well as a popular line of interior laminates and hardware styles.

Simonton has manufacturing facilities in Illinois, Oklahoma and California. The company employs nearly 2,000 workers nationwide, though the number fluctuates depending on the season. Simonton hires its production employees locally, and full-time workers receive health care and other benefits.

Despite national recognition and rising popularity, Simonton is still confronting the same economic woes that are facing most American manufacturers. “When housing starts are down, it affects our output,” said Ziprik. “We are doing well, we have a good market share, but sales aren’t the same as they were three or four years ago.” But the significant rise in sales brought on by ARRA seems to be gaining momentum as people learn more about energy efficiency tax breaks and state incentives like the Energy Star tax holidays grow in popularity. In fact, West Virginia just announced that the state’s tax holiday will be extended from two weeks last year to three months this fall. The success of these incentives suggests a bright future for energy-efficient manufacturers such as Simonton Windows, as well as for the people who will go to work in good, green-collar jobs as the company grows.