Foxconn 'Remains Committed' to Wisconsin Plant and Promise of Eventually Employing 13,000 Workers

Apple supplier Foxconn today said that it remains committed to its contract to build a display plant and research facility in Wisconsin (via Reuters). The company's comment comes a few days after Wisconsin Governor Tony Evers said that the state wanted to renegotiate the Foxconn deal, partly due to the belief that the Taiwanese company was not expected to reach its goal of creating 13,000 jobs in Wisconsin.

wisconsin foxconn
Foxconn's original goal for the project was to eventually employ 13,000 workers on the site, and today the company has confirmed that it "remains committed" to this plan. Foxconn initially announced the project in 2017 at a White House event alongside President Donald Trump. Governor Evers recently took office in January 2019, inheriting the deal to Give Foxconn $4 billion in tax breaks and other incentives.

“Foxconn’s commitment to job creation in Wisconsin remains long term and will span over the length of the WEDC (Wisconsin Economic Development Corporation) contract and beyond.”

Over the years, Foxconn's Wisconsin plant has gone through many iterations as the supplier faced new roadblocks and cost-cutting measures. The plant was designated as a TV display factory in its early stages, then pivoted to small to medium-size displays for smartphones, infotainment systems, and other "niche products".

In early 2019, Reuters reported that Foxconn would greatly scale back its plans to produce displays of any kind in Wisconsin and instead focus on research and development. The news came from Louis Woo, assistant to Foxconn CEO Terry Gou, who said Foxconn is "not building a factory" in Wisconsin.

According to Woo, the steep cost of making advanced screens for TV sets and other devices in the United States led to the decision. Around the same time, the company confirmed it had slowed its pace of hiring, down to about 5,200 people expected by the end of 2020.

As of now, Foxconn has fallen short of its employment goals in 2018, hiring just 178 full-time workers rather than the 260 it intended to for the year. The supplier has to meet certain hiring and capital investment goals under its current contract to qualify for tax credits in Wisconsin. With its inability to meet the 260 hiring target last year, it failed to earn a tax credit of up to $9.5 million.

Tag: Foxconn

Top Rated Comments

Stevez67 Avatar
36 months ago
According to Woo, the steep cost of making advanced screens for TV sets and other devices in the United States led to the decision.

Because of American Greed maybe
As long as you define "American greed" as paying a living wage, worker protections, environmental stewardship, and following through on promises made to secure taxpayer funding, yea Americans are greedy. /sarcasm
Score: 35 Votes (Like | Disagree)
jmgregory1 Avatar
36 months ago
The whole thing was nothing more than a PR stunt. There will be no jobs, no long term benefit to the state or workers in Wisconsin.
Score: 19 Votes (Like | Disagree)
gugy Avatar
36 months ago
Americans can’t compete with manufacturing costs of third world countries and expect to pay the same for the products made in US. There are almost no regulations there, the quality of living is lower and cheaper. Labor gets paid a fraction.
It’s a pipe dream. Adapt or die.
Still amazes me how Americans still fall for this political BS.
Score: 15 Votes (Like | Disagree)
69Mustang Avatar
36 months ago
The whole thing was nothing more than a PR stunt. There will be no jobs, no long term benefit to the state or workers in Wisconsin.
To make matters worse, the outgoing Governor Scott Walker, and the outgoing legislature pushed through a ton of "roadblocks" to keep the incoming government from undoing this debacle. They didn't give two whits about the Wisconsinites.
Score: 10 Votes (Like | Disagree)
ThunderSkunk Avatar
36 months ago
Except, didn’t the new Wisconsin governor state something about 13,000 jobs seems unrealistic:
Yes, hence the second sentence of the article.
This entire project has been BS.
Score: 7 Votes (Like | Disagree)
jlc1978 Avatar
36 months ago

Still amazes me how Americans still fall for this political BS.
Politicians love to say "See JOBS!!!" and people want to believe they'll get a good paying job with benefits.Telling the hard truths doesn't win elections.
[doublepost=1555682845][/doublepost]
This is what happens when government and politics gets in the way of business and free markets. Absent these fundamentally unfair tax incentives that favor one company over another, the notion that a business would know in advance how many employees it will eventually hire to manufacture a technology it hasn't even developed or committed to yet is absolutely absurd.
That's the dirty little secret of "economic development incentives." They don't create jobs, they just create winners and losers in terms of where jobs go. If it is profitable to build a plant a company will, if not they won't; economic incentives just make an unprofitable one worthwhile as long as the incentives last. Then you shutter the plant and start the cycle all over elsewhere.
Score: 7 Votes (Like | Disagree)

Popular Stories

Upcoming Products 2022 Feature

Gurman: Apple Preparing 'Widest Array of New Hardware Products in Its History' for Fall

Sunday January 23, 2022 10:32 am PST by
Apple is working on a number of new products that are set to launch this fall, and Bloomberg's Mark Gurman says that it will be "the widest array" of new devices that Apple has introduced in its history. In his latest "Power On" newsletter, Gurman explains that Apple is working on four new flagship iPhones (iPhone 14, iPhone 14 Max, iPhone 14 Pro, and iPhone 14 Pro Max), an updated low-end Ma...
macbook pro 14 16 2021

Three Months After Launch, Apple Still Struggling to Meet Demand for Redesigned 14-Inch and 16-Inch MacBook Pro

Monday January 24, 2022 7:12 am PST by
Three months after their launch, the 14-inch and 16-inch MacBook Pros continue to experience high demand and seemingly short supply, with shipping dates for both models stretching into multiple weeks in several of Apple's key markets. In the United States, the baseline 14-inch MacBook Pro with the M1 Pro chip is estimated to ship in three to four weeks, promising an arrival by at least...
General Dropbox Feature

macOS 12.3 Will Include Cloud Storage Changes Affecting Dropbox and OneDrive

Tuesday January 25, 2022 3:31 pm PST by
Dropbox today announced that users who update to macOS 12.3 once that software version becomes available may temporarily encounter issues with opening online-only files in some third-party apps on their Mac. In a support document and an email to customers, Dropbox said it is actively working on full support for online-only files on macOS 12.3 and will begin rolling out an updated version of...
Questionable Design Decisions

Apple's Most Questionable Design Decisions in Recent Memory

Sunday January 23, 2022 2:59 am PST by
Apple has always emphasized the depth of thought that goes into the design of its products. In the foreword to Designed by Apple in California, a photo book released by the company in 2016, Jony Ive explains how Apple strives "to define objects that appear effortless" and "so simple, coherent and inevitable that there could be no rational alternative." But every once in a while even Apple...
Apple Watch Red Yellow Green Feature 1

Apple Launches Black Unity Braided Solo Loop With 'Unity Lights' Watch Face

Wednesday January 26, 2022 6:05 am PST by
Apple today announced the Black Unity Braided Solo Loop for the Apple Watch, as well as a new downloadable watch face, to celebrate Black History Month. Following the launch of the limited edition Black Unity Apple Watch Series 6 and Sport Band in 2021, Apple today launched the Black Unity Braided Solo Loop as part of its celebrations for Black History Month this year.Apple is launching a...
att gigabit internet

AT&T Bringing $180/Month 5-Gigabit Internet to 70 Cities

Monday January 24, 2022 9:20 am PST by
AT&T today announced the launch of upgraded AT&T Fiber plans, which support speeds of up to 5 Gigabits for some customers. There are two separate plans, one "2 GIG" plan and one "5 GIG" plan, available to new and existing AT&T Fiber subscribers. According to AT&T, the new plans are available to nearly 5.2 million customers across 70 metro areas including Los Angeles, Atlanta, Chicago, San...
intel vs m1 max chip purple

Benchmarks Confirm Intel's Latest Core i9 Chip Outperforms Apple's M1 Max With Several Caveats

Wednesday January 26, 2022 8:56 am PST by
Benchmark results have started to surface for MSI's new GE76 Raider, one of the first laptops to be powered by Intel's new 12th-generation Core i9 processor. Intel previously said that its new high-end Core i9 processor is faster than Apple's M1 Max chip in the 16-inch MacBook Pro and, as noted by Macworld, early Geekbench 5 results do appear to confirm this claim, but there are several...
ios 15

Apple Releases iOS 15.3 and iPadOS 15.3 With Fix for Safari Bug That Leaks Browsing Activity

Wednesday January 26, 2022 10:00 am PST by
Apple today released iOS 15.3 and iPadOS 15.3, the third major updates to the iOS and iPadOS 15 operating systems that were released in September 2021. iOS and iPadOS 15.3 come almost two weeks after the release of iOS and iPadOS 15.2.1, minor bug fix updates. The iOS 15.3 and iPadOS 15.3 updates can be downloaded for free and the software is available on all eligible devices over-the-air in ...