Whirlpool closes Evansville Indiana plant - to move to Mexico

[ehrnst]

http://www.google.com/hostednews/ap/article/ALeqM5gqUSTJOUJEVJh5FKswfIwxmgJA2gD9AC1U3O0

"This decision is around cost," she said. "We had to take a look at which plant we could get the best cost position in, and because top-mount refrigerators are not in the demand that they used to be and they're more of a commodity item, Mexico offers us the best cost platform to continue to produce (them)."

The "difficult but necessary decision" to close the plant allows Whirlpool to streamline its operations and reduce product overlap, said Al Holaday, Whirlpool's vice president for North American manufacturing facilities, in a statement."

What is not mentioned in the article is that they got tax abatements to stay, took them, then closed the plant anyway.

Local arts organizations sensed this coming when they stopped giving grants and sponsorships last year.

I have bought my last Whirlpool appliance.

[create.peace]

1. me, too, thank goodness i bought my frontloader last year...nt

[Loki]

2. It will be a difficult but necessary decision

to never buy a Whirlpool appliance again.

[NavyMom]

3. When the rebates start we need to ensure NO ONE buys

any of their products. Thanks for the heads up, I am in the midst of buying all new appliances but I will not spend one crooked nickle on these bastards.

[Warpy]

4. Mexico has reasonably priced national health insurance

and that's probably a large part of why they're moving the plant.

At least it's not going to China. Stuff that goes to China will never come back, whether or not this country cleans up its act on health care.

[Andy823]

5. Could be wages

Wages in Mexico are far, far less than here, and I don't know if they have to provide health insurance at all for their employees. Are their workers in Mexico able to unionize? U.S. companies have been going south for years because of cheap labor, and not having to pay any benefits! The jobs won't come back unless they big corporations can reduce wages in the U.S. to the same level countries like Mexico. They have been trying to reduce wages here for years, and it's starting to work, but it's still a long way to go before they come back and americans are willing to work for a couple of dollars an hour, if they are lucky!

[Warpy]

6. They have to pay for national health insurance in Mexico

All employers do. There are also private plans, but they're more expensive.

The labor is a little cheaper, but moving an entire manufacturing plant and training new workers is an expensive proposition. The deal maker is likely the health insurance, a program that also covers things like retirement and disability insurance.

Mexico's got a good system. They just can't afford to make it universal as yet.

[Andy823]

7. What I found

At this site: ttp://www.mexperience.com/discover/discov_ff.htm

Showed that the average daily wage is about $5 a "DAY", and some jobs around $15 a "DAY"! That's a lot cheaper for the corporations.

[Warpy]

8. Now look up how much it costs to buld a new plant

and train a whole new workforce.

I still think health insurance was the deal maker.

[Andy823]

9. They started building the plant

Back in 2004 here is the link: http://www.globalmanufacture.net/home/news/cold.cfm

It's the health care in my opinion, it's the low wages and larger profits they can get by moving to Mexico. Don't get me wrong if they have to pay for health insurance for their workers, it's good that it's cheap, but think about it, even at $15 a day, and I bet it's a lot less, it's still a whole lot less than what they were paying up here!