Evers says Foxconn likely to miss jobs goal again
MILWAUKEE, Wis. (CBS 58) -- Foxconn is likely to miss another employment target.
That is according to Governor Tony Evers who told CNBC the Taiwanese company will fall short of job creation numbers it projected when it originally struck a deal with the State of Wisconsin.
Evers told the network Foxconn plans on employing 1,500 full-time workers at its Mount Pleasant plant when it begins production in May of 2020. That is short of the 1,820 minimum number of jobs it needs to create by the end of 2020 to receive tax credits negotiated in the contract with the state.
Foxconn already missed its 2018 employment target for tax credit eligibility. Last year, the company created 178 full-time positions, short of the 260 needed for tax credits from Wisconsin.
Governor Evers inherited the Foxconn development after his predecessor, former Governor Scott Walker, had established the historic deal with the company which included about $4 billion in tax incentives. Foxconn promised the development would create 13,000 jobs. President Donald Trump touted the future Foxconn development as the "eighth wonder of the world" at one point.
But the company has shifted its plans from what was originally promised. Instead of a Gen-10 facility to produce large LCD screens, the company said it would develop a Gen-6 plant for production of smaller screens, citing market changes.
At an event in Janesville Tuesday, Gov. Evers says the changes don't surprise him and both sides are working to make sure the development benefits both sides.
"The bottom line is we want to make sure they meet their agreements," Gov. Evers said. "We want transparency and accountability for the people of the state of Wisconsin but we want them to be successful. I think we are in a good shape doing that."
Evers added both the state and Foxconn are considering reviewing the contract.
"Foxconn has asked us to take a look at that deal and we’ll do that with them."
Despite the changes in plans for the size of the plant and what will be produced there, Foxconn has consistently said it remains committed to job creation in Wisconsin and eventually hitting its promised employment mark of 13,000 jobs.