Labor Update: Taxpayer-Subsidized Keokuk Company Locks Out Workers
following letter was read at Thursday's meeting of the Iowa Department
of Economic Development by Mark Cooper, President of the South Central
Iowa Federation of Labor on behalf of the Quad City Federation of Labor.
Mark Cooper attended the IDED meeting with Ken Sagar, President of the
Iowa Federation of Labor, and members of the BCTGM 48G union whose members
are currently locked out of Roquette, America's plant in Keokuk, Iowa.
The
delegation presented the letter and remarks along with hundreds of
petitions in support of the workers to the IDED. Approval of the pending
grant application has been suspended by the IDED since last October,
and the IDED did not discuss the issue at the January meeting.
If
you also have concerns about the use of Iowa taxpayer funds to
subsidize a profitable, French owned company that has locked out Iowa
workers, please contact the IDED:
Debi Durham, Director
e-mail: director@iowa.gov
January 20, 2011
Debi Durham, Director
Iowa Department of Economic Development
200 East Grand Avenue
Des Moines, IA 50309
Dear Director Durham and Members of the Iowa Economic Development Board:
The
Quad City Federation of Labor has serious concerns about Roquette,
America’s grant application under the Iowa Department of Economic
Development (IDED) High Quality Jobs Program. The IDED High Quality Jobs
Program was implemented to grant companies tax benefits to off-set the
costs incurred to locate, expand or modernize an Iowa facility. The
grant requires, however, the recipients meet specific wage thresholds
and benefits to its workers for the duration of the project under which
the grant application was filed.
The
High Quality Jobs program is meant to grow Iowa’s economy while at the
same time creating good jobs for Iowa workers. By using public funds to
create high quality jobs, the IDED program helps grow Iowa’s economy
resulting in increased state revenues that help fund our common health,
human service, education, public safety and infrastructure needs.
I
think no one would disagree with this type of economic investment and
commitment to sustainable growth in our state. But if Roquette, America
receives government money while locking out its permanent workforce and
replacing them with temporary workers, what does it say about Governor
Branstad’s Administration’s position on the use of public funds?
We
fully support IDED ‘s High Quality Jobs Program and other initiatives
that help create good jobs, but giving taxpayers’ money to profitable
businesses that offer only precarious jobs is not fiscally responsible.
No one we know would call a temporary position with no benefits (e.g.
health insurance, pension, or sick days) a “quality” job. Nor do we
think Iowa taxpayers are in support of this type of government
expenditure to the benefit of a foreign-owned corporation.
We
welcome investment from responsible businesses in our state and offer
well-trained, willing, able and loyal workers. We also invite companies
to take advantage of our High Quality Jobs Program if they are, in fact,
creating good jobs. But forget about a bait-and-switch. Short term
profits for a foreign-owned company do not equate to long-term benefits
for we the people of Iowa.
In Solidarity,
Jerry Messer, President, Quad City Federation of Labor
On Behalf of the Executive Board, Delegates and Members