Enjoy Life Foods, a manufacturer specializing in allergen-free snacks, finalized
previously announced plans to move operations from Schiller Park, Illinois, to
Jefferson, Indiana. The plant closure was announced in January 2016, less than a
year after Enjoy Life Foods was acquired by Mondelez International in February
2015.
The move cost Illinois 125 to 150 manufacturing jobs.
Enjoy Life Foods stated it has already hired 100 employees at its new plant in
Indiana and plans to hire 200 more by the end of 2017, according to a report by
Fox 32. The new 200,000-square-foot facility in Jefferson will enable Enjoy Life
Foods to double its output. With the new plant and hires, Mondelez’s investment
in the Jefferson area will total more than $39 million.
“Overall, we look for the best place to locate for our manufacturing,” stated
Chief Sales and Marketing Officer Joel Warady in an article by the Illinois
Policy Institute in January. “Finding a manufacturing-friendly state was part of
the process.”
Warady is not alone. In a survey of CEOs conducted by Chief Executive Magazine
in May, Illinois ranked as the worst state in the Midwest and third-worst in the
U.S. for business friendliness. The best state in the Midwest for business,
according to CEOs? Indiana. The Hoosier State ranked first in the Midwest and
fifth in the country.
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Indiana’s business-friendly climate is making it all the more
attractive for investment and economic growth. The Indiana Economic
Development Corp. estimates that since 2005 more than 50
Illinois-based companies have moved to Indiana, according to Fox 32.
While Enjoy Life Foods will receive $800,000 in state tax credits
and local incentives in connection with moving operations to
Jefferson, Indiana has fundamental economic policy advantages over
Illinois. In the CEO survey, Illinois fared poorly compared with
Indiana in all three categories on which CEOs were polled: tax and
regulatory regime, workforce quality and living environment.
Illinois’ property taxes are among the nation’s highest, its
sky-high workers’ compensation costs leave it uncompetitive with
neighboring states, and its lack of Right-to-Work policies
disadvantages the state compared with regional peers. While Rust
Belt states such as Indiana and Michigan experience a manufacturing
revival, Illinois is being left in the dust thanks to policies that
do not work.
Illinois policymakers should take this latest manufacturing loss as
a wakeup call. If Illinois wants to keep and attract manufacturers,
the state must pursue pro-growth policies.
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