Mercury Marine To Close And Move All Production From Fond du Lac, Wisconsin......

I am wondering if property/buisness/income taxes can legally be selectively imposed in the first place...

"Special tax district", and every municipality (city/county/state) typically reserves the right within their bylaws to establish whatever they want/need. In reality, you won't find many direct competitors having a wide disparity of tax incentives within the same municipality. At some point the state will step in to equal things out.
 
Its just sad to see Mercury Marine on the brink of leaving Wisconsin. The cascade effect of them leaving will be enormous. It's too bad the fat cats at the union hall didn't see the big picture either.

Yes, you're absolutely correct. This will affect the entire community.
Look, Bucyrus is a small town, I haven't heard what is going on there since Reggie moved the Baja plant down to NC, but I imagine that there are many feeling the pain.
I've heard rumors that some of the talented guys in Bucyrus have struck out on their own, and I'm assuming the same will happen with the guys at Merc.
Personally, I wish them all the best, and hope that if they can provide a product or service that I need it will be mutually beneficial for me to do business with them.
I certainly feel the pain for the community. It's going to hurt.
 
More...


Second Mercury Marine Contract Vote Termed Invalid

Mercury Marine union members got their opportunity for a second vote on a proposed contract from the company, but it turned out too little too late Saturday night. Two-hundred and fifty workers cast their ballots before midnight, but the company stuck to its deadline and declared the results invalid. Union negotiator Rollie Chase says as a result the company official they talked to on the phone, Mercury Vice President of Human Resources Ray Atchinson, termed it a rejection. Mercury spokesman Steve Fleming says they'll start developing their plan for consolidation of manufacturing jobs to Stillwater, Oklahoma. He says it will take some time now to make a decision about plans for Mercury's corporate headquarters. Fleming says there's still some work that has to be done with state and local officials before that decision is reached.


8/30/09 - 2:16am: Mercury Issues Press Release

Mercury Marine Proposal Lapses Without Acceptance by IAM


FOND Du LAC, Wis., (August 30, 2009) - Mercury Marine on Sunday confirmed that the contract proposal formally rejected by union members Aug. 23 expired at midnight Friday, Aug. 29, without acceptance by the International Association of Machinists and Aerospace Workers (IAM).

The IAM conducted a last-minute vote on the original proposal terms and conditions but did not complete the process to a definitive conclusion prior to the expiration of the proposal.

As a result, Mercury said it will continue to operate the Fond du Lac facility under the terms and conditions of the existing contract, which expires in 2012. Manufacturing workers in Fond du Lac are represented by the IAM, Local chapter 1947. As previously announced, the company will now begin the transition planning process to its Stillwater, Okla., facility.

"We want to personally thank the business and community leaders of Fond du Lac and Stillwater, our local and state government officials and all of the committed employees of Mercury Marine who have supported us and given us their full effort during this difficult process," said Mark Schwabero, president of Mercury Marine. "This has been a very difficult and stressful time for all involved but, as we said at the beginning of this process, it is our responsibility to make the best business decisions for the company to have a sustainable future.

"We will work closely with our teams in Fond du Lac and Stillwater to develop and communicate a smooth transition plan which we hope to implement with minimal disruption to our business and the communities."

In light of extreme economic conditions that necessitate the consolidation of its manufacturing capacity, Mercury had submitted a contract proposal to the union leadership that would have enabled the Fond du Lac facility to more effectively compete in a different, much smaller market.

Mercury said it expects to finalize the details of state and local programs over the next few days and that detailed plans for the transition will be announced as they become available. The company expects the full consolidation to take between 24 and 36 months.

"As we begin the planning process, we value the ongoing support of our community, employees and local officials," Mr. Schwabero said. "We will continue to communicate regularly and openly as transition decisions are made over the coming months."

What part of Dead Line don't they understand??
 
In many ways, I agree.
But Mercury... why should they honor the vote?
The union was greedy, and felt it couldn't be replaced. When Merc said "OK, see ya later, bye!"
Now the union realize they don't hold the trump card.
Merc put out a deadline to make a deal - the union didn't meet the deadline.
Merc will incur expense to move the machinery, and tooling, and hiring new employees and training.
But, in the big picture, what is best for Merc?
I understand this affects guys like you and Wayne that live in that area, and Merc is a major job source for the area. It affects the entire area financially. "Sarah's sandwich shack" won't have any lunch customers anymore... etc, etc...
But, they did it to themselves.

Article in the paper the other night estimated 6,000 jobs lost when figuring employees from satelite companies, health care facilities for Merc's insurance, etc. :(
 
Its just sad to see Mercury Marine on the brink of leaving Wisconsin. The cascade effect of them leaving will be enormous. It's too bad the fat cats at the union hall didn't see the big picture either.

For what it's worth. The head dude for the union is losing his big fancy shack to forclosure.

Couldn't happen to a nicer guy:sifone:
 
Article in the paper the other night estimated 6,000 jobs lost when figuring employees from satelite companies, health care facilities for Merc's insurance, etc. :(

Yep, it's a hard hit to the the entire financial structure there. It won't be pretty.
 
I would bet that when the union sees actual planning for the move to begin they will back up quick.
Neither one has blinked yet.
Its Mercury's move now.
If the union sees them purchase anything of signifigance to prove the move is going to happen, guaranteed they will cave.

The union leaders must have friends and family that work there.
 
I would bet that when the union sees actual planning for the move to begin they will back up quick.
Neither one has blinked yet.
Its Mercury's move now.
If the union sees them purchase anything of signifigance to prove the move is going to happen, guaranteed they will cave.

The union leaders must have friends and family that work there.
they wont move for two years.
 
While we are here can someone post the answer to the following.


Price for #6 drive 2004.....2009
Price for 525 2004.....2009


Any wage classificaion 2004
Same classification 2009
 
Yep, it's a hard hit to the the entire financial structure there. It won't be pretty.

I'm not gonna Begin to blame the closing of our shop on this mess, but we did see a significant drop in floor traffic when this all started. People here are on pins and needles. Was never a good subject to bring up with customers unless you knew their stance. The outsiders seen it as greed and the insiders were ever loyal to their beloved union beliefs.
 
It is not as though one can simply go across the street and get a similar job, Do the union reps have any Idea as to how Mercury is to pay for their Demands? Of course Not! none of them have run a business otherwise they would see the current environment and the condition the marine industry is in. they need to be looking for another “Host” to bite into.
 
It sucks that the empoyees that were caught in the middle of this will suffer, but.........

I'm glad Mercury is sticking to it's guns and moving.
 
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