Column: Waukegan loses another firm to Wisconsin
While Gov. JB Pritzker was trying to answer inane questions from congressional Republicans last week, officials in Wisconsin were finalizing a deal to bring a top-notch Waukegan manufacturer to the Badger State. The impending move of Yaskawa America was but one in a series of recent bad jobs news for Illinois.
Pritzker was among three Democratic governors summoned before the GOP-led House Committee on Oversight and Reform to defend the state's sanctuary laws for undocumented immigrants. He sparred with committee members, including Illinoisan Republicans Darrin Hood of Dunlap, a suburb of Peoria, and Mary Miller of Oakland, near Charleston, home of Eastern Illinois University.
The governor could have used the wasted time — he was asked if he had ever used a woman's bathroom (he didn't think so) or if he supports the terrorist Hamas organization in Gaza (Pritzker is Jewish) during long hours of political theater — to be back home and work to save more than 2,100 Illinois jobs.
That's the number that will be disappearing from the Land of Lincoln even before the announcement from Yaskawa that it will be pulling up stakes and moving to Franklin, Wisconsin, southwest of Milwaukee. According to the Illinois Department of Commerce and Economic Opportunity, 14 companies across the state, from Libertyville to Naperville to Momence in Kankakee County, will be furloughing workers.
In Libertyville, 133 employees at two Bristol Myers Squibb sites in Innovation Park, off Route 45, south of Winchester Road, will be out of work beginning July 1. The pharmaceutical firm announced the layoffs early last month. Cardinal Logistics Management Corp., a North Carolina-based transportation and warehousing company, has gotten rid of 43 employees in Naperville
Momence Packing Co., which makes Johnsonville sausage products, is scheduled to lay off 274 workers beginning Aug. 1. The aging facility's operations will move to other plants in Wisconsin and Kansas.
Those are substantial job losses, but it is the Yaskawa move that hurts the most. Once again, Illinois has lost a major company to nearby Wisconsin, one which has been in Waukegan on Norman Drive, off Route 43, just north of Martin Luther King Jr. Drive, since 1998.
This is occurring while Wisconsin tourism, mainly supported by Illinoisans, for the third year in a row, set new records in total economic impact, number of visitors, and state and local revenue in 2024. The Wisconsin Department of Tourism says America's Dairyland brought in $25.8 billion from tourism last year.
Yaskawa America won't be a tourist.
Company officials said late last week the firm plans to invest at least $180 million and create more than 700 new high-paying jobs in Wisconsin. The company manufactures industrial robots, motion control devices, low- and medium-voltage alternating current drives, and solar inverters for numerous industries, including the semiconductor, machine tool, automotive, HVAC, pumping, oil and gas.
The firm will consolidate its North American headquarters and training facility from Waukegan into one location in Franklin over the next eight to 10 years. The 800,000-square-foot campus in Franklin will include the Yaskawa America headquarters, training and lab building, as well as manufacturing and packaging facilities.
'We take pride in our cutting-edge technology, our commitment to quality, and our world-class manufacturing, and we look forward to a strong future of growth and innovation in Franklin,' Mike Knapek, chief executive officer of Yaskawa America, said in a statement announcing the move.
The company's parent, Yaskawa Electric Corp., based in the northern Japanese city of Kitakyushu, is celebrating its 110th anniversary this year. The corporation has more than 15,000 employees worldwide with 81 subsidiaries and 24 affiliate companies. It has been operating in the U.S. since 1967.
'I am really excited to be celebrating Yaskawa's decision to relocate its headquarters to Wisconsin and expand its footprint here in the Badger State, bringing with them millions of dollars in capital investment in Southeastern Wisconsin and hundreds of high-quality, family-supporting jobs,' Wisconsin Gov. Tony Evers crowed in announcing the firm's move out of Waukegan.
Evers said the state has authorized up to $18 million in tax credits contingent upon the number of jobs created and the amount of capital investment during the relocation period.
'Companies from across the globe are choosing Wisconsin to grow and expand because they know we have the best workers making the best products,' Evers added, dismissing Illinois workers, noting Wisconsin is strengthening its 'position as a leader in advanced manufacturing'.
Yaskawa joins the roster of Illinois firms which continue to find the grass is greener north of the border. Pritzker and Illinois economic development officials have yet to find a battle plan to counter the corporate exodus.
They just seem to wave goodbye as more jobs walk away.
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