Lilse move and Job creation is a "hummug"
sources from inside company says not many employees are got move offers.
lots of new recruitment going on, as company is struggling to backfill.

Here are the reported jobs to the state of illinois...
Lisle + Joliet

JOB DATA
1,532 Current jobs
542 New jobs projected (transfer from out of state)
100 Retained jobs (joliet)
400 Construction jobs projected (temp)

http://www.il-fa.com/public/boardbooks/media%2009%2014%2010.pdf

See page 41.

Read this and you will get the "big picture"
on Navistar's announcement of reorganization/consolidation and, of course, LAYOFFs.

http://fleetowner.com/management/navistar_organizational_structure_1111

Here it is folks..

Navistar Lays off another 250 workers in Ohio.. because there is NO WORK!

tell me about "job creation" again..

http://www.whiotv.com/news/25331913/detail.html

http://online.wsj.com/article/BT-CO-20101008-712446.html#articleTabs%3Darticle

http://www.springfieldnewssun.com/news/springfield-news/navistar-issues-layoff-notices-971960.html

The entire state of Illinois really got suckered by Navistar.
All you have to do is look at the Navistar nation-wide layoffs over the past two years... THOUSANDS and THOUSANDS of people layed-off.

Now, can we just say we already gave them too much (65Million tax credits, 145Milllion recovery zone bonds) and SAY NO TIF!?

Why in world would our local Lisle official and Naperville 203 School District support a TIF. Navistar will stay without a TIF.
Does Navistar need to scrap every crumb of taxpayer dollars to stay afloat or pad the CEO's stock options?

Oh.. speaking of CEO stock options, we see Navistar's CEO selling 10,000 shares this week. Nice to see even he doesn't want to invest in his own company....

How many unemployed people from your town realistically have a shot at getting a job at Navistar? Is that a new or existing job?

There would have to be a large influx of people who are willing to live in your town to help the land values. Even then people moving in are going to be looking for a deal and right now you can get a deal just about anywhere. If sellers in your town aren't giving the best deals people will simply buy elsewhere. People buying at the bottom of the value curve are not exactly helping land values go up.

Tax revenues from what kind of tax sources are being helped? Transfer taxes are depressed because of already low real estate values. Real estate taxes are going to be adjusted downward this year unless all of the taxing bodies raise their tax rates... which they are most likely going to do. People are not buying so sales taxes are down, especially on big ticket items like cars. And Navistar isn't generating sales taxes that will benefit the local economy. Exactly which tax revenues in your town are being helped?

If you see this as a BIG TIME WIN I guess there are two things that can be said. The first is it obviously doesn't take much for you to be impressed (code for snookered by all of the people who are making the real money off of this deal) and the second is you better not take off your rose tinted glasses.

I see it as huge because it helps the unemployment in my town, it helps the land values inmy town, and it helps the tax revenues in my town.

So, BIG TIME WIN!

"... it is a HUGE win!"

Such a statement depends entirely upon how someone views this as a battle or a war and even then what their perspective of the matter may be. I know both business owners and home owners who have differing views as to whether or not this is any kind of a real win, some who feel it is at best a very weak win, and others who don't see it as a win for anyone other than Navistar.

For those who view it as a battle and a win... are certainly entitled to enjoy their opinion.

For those who view it as a war the real answer as to whether or not this was a win or a loss is going to take 20 or 30 years for us to really determine the bottom line truth and even then it will depend upon someone not cooking the books to stilt the stats in one direction or another.

More and more communities are declining to get involved with deals like this because there is a growing body of proof that giving away the farm as an incentive never gets repaid and it ends up costing more than was really gained. The difficult part for taxpayers and voters within a state like Illinois where we do not have binding referendums or recall provisions in our state constitution is that our elected officials often sell us down the river and explain it away with voodoo economics that no one understand or can explain, and they know they can simply get away with it because voters and taxpayers have little recourse other than throw them out of office. Of course, by then it it too late anyway and it is a done deal besides the fact that voters have short memories and are too forgiving in holding elected officials or anyone else accountable.

Yep, anyone who voted against holding a constitutional convention totally blew the opportunity to fix some of these long standing problems with the Illinois constitution for another 20 years.

Try thinking like a business owner or a home owner ---- it is a HUGE win!

The jury is still out on whether or not this is a win or a loss. Even if it is a win it is doubtful that it will ever be classified as a huge win by a local resident or taxpayer.

Notice how all of the local political attention has been directed at drawing peoples attention to the low interest financing? How soon everyone forgot all about the TIF deal and the tax abatement that will affect local taxing districts, especially like the school district.

Keep your eye on the money and this is a huge win for Navistar and their stockholders. For local taxpayers we've been played like a bunch of chumps and patsies and weagain got sold out by our elected officials for the special interest of big business. No surprise there since this is Illinois.

All politics is local!

The only Fed incentive is the lower (not low) interest access that was offered to local communities (and which they were going to lose at the end of the year)

Overall, it is a HUGE win for the area.

Based upon what I've read, the 1,250 "new" jobs are predominately new to this area and will come at the expense of Ft. Wayne and other locations. So, yes it's a win for this area. Unfortunately, a lot of the monetary incentives came from federal programs intended to help the economy in total. In that context, this was a waste of tax dollars, that were to be used for economic recovery, as every gain here is offset by a loss elsewhere. In my opinion, another example of why big government is rarely the solution to a problem.

Don't get me wrong, it's a plus for this area, but not for the economy as a whole. I'm not too impressed with the politicians that consider this a "win win."

It involves around 1250 brand new jobs plus the relocation of existing jobs from other areas (about 98% of them already local).

So the net is an additional 1250 jobs.

Given the total collapse in real estate, anyone with a job and any equity should be able to do quite well in the local market if they are relocating here.

Most properties for sale are getting zero people viewing them and zero offers.

Most of the reputable economists are stating that major corrections are on the way for 2011, already baked into the cake.

Pre-bubble real estate prices are those from 1999, that is what the values will return to, or lower, if no one has a job.

The correction is: massive cuts in government spending and debts, massive decreases in government micro management of the economy and Americans, massive cuts in regulations that just add costs, repeal of free trade which has exported large sectors of the economy and is bleeding $1 Trillion a year of the USA.

So far neither party is ready to move to flat taxes or sales tax only like Florida or Texas, or repeal of cheap labor trade and immigration policies.

Things still have to get worse before we will get more than tweaks to the status quo which benefits those currently in office and their sponsors.

"So, the employee is given the opportunity to either relocate at the new wages or he/she can leave. No relocation expenses to be provided."

If that statement is true it speaks volumes about how Navistar values and treats it's own employees... especially considering how Navistar pimped itself out trying to get the best deal from a lot of different communities. In retrospect it is a shame that all of these communities didn't offer Navistar the same kind of deal... hey, just a Golden Rule kind of thing. Now we find out that all of these communities were vying for all of these so-called, high paying, professional level jobs and at the same time Navistar was pulling the rug out from under the feet of those who were already doing the work... like Ft. Wayne has a higher cost of living than the Chicago metro area. Meanwhile, let's not forget for one minute that Navistar is a highly successful, highly profitable corporation that makes a huge percent of it's profit off of government contracts. So much for any real new jobs... sounds more like Navistar is only reshuffling existing jobs from one location to another and trying to cut labor costs at the same time.

Can any of the Illinois politicians who supposedly worked so hard to cobble this deal together spell SUCKER? How about the Naperville Sun check back during subsequent election years and do some reporting on how much Navistar donates to the re-election campaigns of each of the politicians who helped "save the day". This whole deal is another sordid affair in the annals of Illinois politics and enough to make anyone puke.

There used to be a day when a lot of people looked up to large, successful corporations because corporations tended to take care of their workers and give back to the local community. Recently Navistar has been quick to hold it's hat in its hand trying to see where they could extract the "best deal". Pretty soon we will all see how many times over Navistar is prepared to repay the generosity and good will extended by the people of Illinois.

My money says Navistar "world headquarters" will be permanently relocated out of state 2 years +/- the date this "low-interest financing deal" ends or we will find our community and these jobs once again being held hostage for the best "deal".

It's going to be real hard to get off of this merry-go-round isn't it?

I personally know a person that works at the Navistar facility in Ft. Wayne. He was telling me that many of those jobs are moving to Lisle possibly. And, some of the "new" jobs will pay less than Ft. Wayne wages. So, the employee is given the opportunity to either relocate at the new wages or he/she can leave. No relocation expenses to be provided.

Sam,

Known for sure is that Navistar is moving the Warrenville office to the Lucent campus. There is a Ft. Wayne engine testing facility that was supposed to move up the Lucent facility and it sounds like it will still move from Indiana, but will now to go to the a new separate test site somewhere locally in Illinois. Lot's of rumors as to where.

I also believe that they are adding personnel (hiring), but, yeah, mostly it's re-shuffling employees from other locations.

I have no strong feelings about this issue either way, but I do have a question that the press coverage hasn't really addressed: Where are the new jobs coming from? Is Navistar moving from Warrenville? If so, aren't many of the highly touted "new" jobs in Lisle coming at the expense of Warrenville? Or are some coming from another facility in the Western suburbs? If that is correct, then our gain is some other community's loss, and, in the larger sense, this use of recovery bonds really did little to help the economy, as a whole.

Don't get me wrong, I understand that our area is better off if Navistar stays here as opposed to moving to some other geographic area, I just want to understand the source of the "new" jobs. It seems to be that we've only relocated existing jobs. Yes, the 300 construction jobs will be new, but they will also be temporary.

Can someone shed some light on this issue for me or provide additional information that explains the new jobs and also clarify if the Warrenville location is being replaced or downsized?

About tme!