EEUU (Wisconsin): McCain Foods to close Fort Atkinson plant

Officials of the Lisle, Ill.-based company reportedly were in Fort Atkinson to break the news to the plant’s approximately 120 employees.

“It is never an easy decision to close a plant, especially when it means job losses,” said Frank Finn, president McCain Foods USA Inc. “While it is never our intention to eliminate jobs, our decision is based on the overall business climate.”

Products currently produced at the Fort Atkinson plant will be moved to other McCain Foods plants including the plant in nearby Rice Lake, Wis.

“We appreciate everything our Fort Atkinson plant employees do to deliver high quality products and create a safe working environment,” Finn said. “We will treat every employee with the utmost respect, and will continue to work closely with union officials during this transition.”

A notice was sent to the City of Fort Atkinson Wednesday indicating that there would be 117 employees affected by the closure.

City Manager Matt Trebatoski said the first employee separations would start in June. The full closure of the facility is expected to be complete by the end of December 2015.

“We will work with them to see if there are things the city, the chamber or the county can do to work collaboratively with them to help with the displaced workers and to see if there are any other opportunities for another business to come into the location,” he said.

The city manager noted that McCain Foods is one of the city utility’s largest customers.

“That will be a pretty large impact on our two utilities,” Trebatoski said, noting that the city will have to take a look at the budget into future years and examine what kind of affect that will have on it, and see if adjustments have to made to the overall rates.

“McCain’s has been a valued employer in Fort Atkinson since the 1960s, when they began as Moore’s Seafood Products, and then Ore-Ida in the 1990s,” said Fort Atkinson Area Chamber of Commerence Executive Director Carrie Chisholm, noting that since becoming McCain Foods the company has been an active member of the chamber.

“The community will feel their loss not only in number of jobs, but in the heritage they have created here,” Chisholm said. “Of course, the chamber will work closely with McCain’s, the city, Workforce Development, and our existing employers to assist with this transition, and to provide alternative opportunities for those employees who may be displaced by this decision.”

Jefferson County Econcomic Development Consortium Executive Director Genevieve Borich echoed Chisholm’s statement.

“The closing of McCain Foods is unfortunate news as they have been an economic institution for our area and will be missed,” Borich said. “The JCEDC will be working with Fort Atkinson, McCain’s business leadership and the Wisconsin Workforce Investment Board’s Rapid Response team to help employees transition to finding new employment.”

She pointed out that while there have been announcements of layoffs and closing, manufacturing overall is growing slightly in Jefferson County as companies retool and diversify their production.

“It is important to continue to support our existing businesses as they emerge from the economic downtown and look forward to the future,” Borich said.

Moore’s Food Products Inc. started in 1956 as Moore’s Seafood Products Inc. It was built by Scott and Sam Moore on the foundation of a Milwaukee fish firm purchased by their father in 1922. The development of breaded fish and seafood led to the breading of onion rings.

The company moved to its Fort Atkinson plant in 1963.

It was acquired by Clorox in 1978 and enjoyed continued expansion for several years with products being manufactured at Fort Atkinson and Rice Lake facilities.

Ore-Ida purchased the Fort Atkinson plant in July 1993. The brand subsequently was acquired by McCain Foods, USA in 1997.

In 2009, McCain Foods eliminated approximately 126 positions at the Fort Atkinson plant, consolidating appetizer production in three of its facilities.

Special products moved from Fort Atkinson included deep-fried cheesesticks, zucchini, mushrooms, cauliflower and others that are not onion-related.

At that time, McCain employed about 260 people at its Fort Atkinson plant. Approximately 14 salaried and 112 hourly employees were affected by the cuts that year.

Company officials declined to detail the number of employees affected by the pending plant closure.

Reasons cited for the consolidation in 2009 included declining appetizer sales and the need to become more efficient.

Company officials stated in 2009 that casual dining had been declining about 8 percent, marking the largest drop since 2003.

Position cuts were determined based on seniority as defined in the company’s contract with United Food and Commercial Workers International Union Local 1473.

Affected employees will be offered severance packages which included an undisclosed number of weeks of pay after the termination, as well as enhanced benefits to move forward and outplacement assistance.

Company officials declined to comment on whether employees would be receiving any severance package options in the wake of the closure.

With elimination of the Fort Atkinson site, McCain Foods USA, Inc. will have 10 sites across the country, in Maine, Washington, Wisconsin, Idaho, California and Nebraska.