
Back in 2009, Fond du Lac sat on pins and needles as the area's largest employer, Mercury Marine, decided to bilk it's long time employees through concessions in it's union contracts. The entire episode was a roller coaster which divided this town and was one of the first glimpses (in my eyes) as to just how darn divided we were in this state, and the perceptions of employee unions. I knew then it wouldn't be the last we'd hear of the whole issue of "union v non-union" jobs, but even then I couldn't fathom what would happen in 2011.
I'm not here to defend every action that the union took during the entire debacle as a family member of mine was (and is now again) a Merc employee who would say they shot themselves in the foot many times. But generally one of two perceptions reigned in this city: Either it was that the employees were often times overpaid, should be take the concessions to save their own jobs and the city's economy, or that the company pitted the workers against the city and held them hostage to having to accept the concessions. Ultimately, through a series of spectacular events where there were contract rejections, threats of leaving, press releases that the company was pulling out of town, a re-vote, and a retraction, the jobs stayed and the company closed the Oklahoma plant instead. The union became less powerful, wages went down, and the company won their money. However, the company itself didn't exactly give big business and company executives a shining blue ribbon in the eyes of the average citizen either.
Well, today's
FDL Reporter, and subsequently the
MJS have both posted articles about a new $20 Million expansion at Merc in FDL. The Reporter article is laughable as it is simply just a press release from the company, (
way to go journalism) but the Journal-Sentinel article is at least worth a read to remind yourself (especially if you are a resident of FDL County) just how much power business has over John & Jane Q. Taxpayer:
State officials offered the company $70 million, mostly in the form of
refundable tax credits, to protect jobs. Fond du Lac County gave the
company a $50 million loan, paid for by a 0.5% sales tax, and the City
of Fond du Lac offered $3 million in financial aid.
Look, the whole issue behind what happened at Mercury is complex, and honestly, the devilish details have faded from most peoples memories in town. (Much like the idea of Act 10 being introduced on a Friday and the Governor wanting it passed the next Tuesday has faded from many people's minds.) However, one thing that hasn't faded is that sales tax, which everyone sees whenever they buy anything. It's been referred to around here as the "Merc Tax" where everyone is essentially paying to keep those jobs in town. (So, public dollars are put to a private company to create private sector jobs. Yeah, that's WAYYY better than hiring more public sector employees) Everyone, except for yours truly, thinks it's here to stay and won't go away when it is supposed to in 2019. I guess for that one, only time will tell.
What gets me though in the stories put out today are the numbers. 380 Employees was what I remembered hearing about back in 2009 for how many people were coming from Oklahoma, and low and behold, I remembered correctly:
http://newsok.com/stillwater-to-lose-380-jobs/article/3398544. But then, how did Mercury create 950 jobs in the last 3 years from the Oklahoma move? From the MJS:
Mercury has added about 950 jobs in the community over the past three
years, many of them from bringing the Stillwater work to Wisconsin.
Huh? How's that work? The MJS article and pseudo-article (press release) in the FDL Reporter claim Mercury presently employ around 2,550 people in Fond du Lac. What did those numbers look like, say.... 3 years ago in 2009? Here is a MJS article from 2009:
http://www.jsonline.com/news/wisconsin/54321942.html and some numbers on employees from then:
Mercury has 1,900 employees here, including the company headquarters.
I'm no math wizard, but that's not a difference of 950 jobs, more like 650, of which 380 came from Stillwater, OK. While nice for Wisconsin and Fondy, it's a net gain of nothing nationally. Furthermore, the talk of people not being able to purchase things on jobs paying $11-13 an hour from that article rings so incredibly true, especially after we've now seen the city's public employees take a beating at the hands of Governor Walker. This city is being brought down by low paying low skill jobs. It's also no secret that the perception of Merc being a "revolving door" with new hires has come about in town, leading everyone to ask, "why do people not stay?" While I'm glad to hear the overtures of Mercury needing engineers and looking to hire more of them in their latest expansion project, this city still isn't a destination for college educated students to find a well paying job to start their career. We need far, far, FAR more.
Lastly, all this talk about expansion, while good in general, makes wonder just how much to really trust what this company says. Remember, only three years ago it said that,
"its sprawling industrial complex in Fond du Lac isn't an economical place to build engines". Doesn't exactly sound like a vote of confidence to me. But, I guess the fact that they now get to line their pockets every time I fill up my gas tank, make a trip to ShopKo, or eat out at a restaurant makes it a little more "economical."
Way to go Wisconsin. Keep those low paying jobs coming... Sure, jobs are good, but what we really need are GOOD PAYING jobs. Otherwise, NOTHING will change with our economy.