Red Wing Makes ’Made in USA’ Pay, Plans to Add 125 Dealerships

Dave Murphy, president and chief operating officer of Red Wing Shoe Co., got hearty applause when he announced record earnings for 2010 -- $448 million, up 12 percent from 2009 -- at this year’s shareholder meeting in Red Wing, Minn. But the announcement that got the roughly 150 shareholders out of their seats for a standing ovation was not about dividends or returns. It was the 315 employees the company hired in 2010, bringing head count close to 2,200 today.

In an era of downsizing, offshoring, and outsourcing, this century-old, closely-held shoe manufacturer still buys cattle hides in Nebraska, tans them in St. Paul, and turns them into work boots in Kentucky, Missouri, and Minnesota. Eschewing big box retailers, Red Wing distributes its industrial footwear, hiking boots, and casual shoes through nearly 500 company-owned and independent dealerships: old-fashioned shoe stores with sales people who sit with customers, measure their feet, and fit shoes one pair at a time.