WAKARUSA -- RV manufacturer Monaco Coach handed out hundreds of pink slips. The Wakarusa company laid off 200 employees on Friday. The town manager estimates the company employs about 1,200 people. The cuts have already impacted one local business.

Chances are if you live or work in Wakarusa, you've heard of Cooks Pizza. Owners Steve and Barb Cooks say lunchtime is the slowest it's ever been.

"We'll probably scale back on the help, but it's unfortunate," said Cooks Pizza owner Steve Cooks.

The biggest factor: The recent layoffs at Monaco Coach, one of the area's largest employers.

"On Friday we notified those employees that were affected. We reduced our work force by about 200 employees," said Director of Corporate Communications Craig Wanichek.

Monaco Coach says the demand for RVs is slowing down.

"Overall the RV market has slowed this past year and the consumers out there are facing high fuel prices and some things like that," said Wanichek.

"It's just one of those times right now when it's bound to happen. It's going to affect a lot of people around here," said Wakarusa resident Brent Sonner.

But many remain optimistic about how much the layoffs will actually impact them.

"People drive here from Plymouth and Rochester, Elkhart, Goshen. The whole town I think will be behind any changes that happen with the big businesses around here," said Sonner.

"The town will get through it. They've been through things like this before," said Wakarusa resident Rolland Eby.

Monaco Coach says the market may begin to pick up with the recent interest rate cuts and lower gas prices. If that's the case, the company says they'll hire many of those people back.