Changing tastes could close plant, cost 400+ jobs

Changing tastes could close plant, cost 400+ jobs
Published: Jan. 9, 2015 at 12:21 AM EST|Updated: Feb. 23, 2015 at 1:15 AM EST
The plant employees over 400 workers. (Source: WAVE 3 News)
Roger Miller (Source: WAVE 3 News)
Wendy Dant Chesser (Source: WAVE 3 News)

NEW ALBANY, IN (WAVE) - More than 400 workers are getting an extended weekend off with pay, but not by choice.

General Mills sent them home, minutes into the first shift at its Pillsbury dough plant Thursday, after announcing that it likely will shut down the facility in mid 2016.

[PREVIOUS STORY: Pillsbury plans to close 400-worker New Albany plant]

"Blindsided would be good way to put it," said Roger Miller, the President of Local 33G of the Bakery Confectionery Tobacco workers and Grain Millers union, which represents production workers at Pillsbury and its neighboring supplier plant Sunoco.

"There's anger, disappointment it's like a loss. A death in the family," he said.

The plant has been a fixture since 1959, turning almost every type of dough Pillsbury sells in grocers' freezer cases including pie crusts, crescent rolls, cinnamon rolls and biscuits.

"Does it have anything to do with money?" Miller asked. "That's not what they're saying."

"It's about overcapacity," General Mills External Communications Manager Bridget Christianson said in a telephone interview. "The decision is subject to negotiation with union officials."

General Mills will be closing a similar facility in Midland, Ontario, Christianson confirmed.

By union agreement, Pillsbury New Albany's average wage is $26 per hour, about $8 more than the average hourly rate in the region, confirmed Wendy Dant Chesser, the President & CEO of One Southern Indiana. The compensation package includes pension and fully-paid health insurance.

"With overtime, many workers earn more than $85,000 per year, some into six figures," Miller said.

"Unfortunately, we don't have a lot of numbers yet on what the full impact is going to be," Cheser said. "But we are cognizant of that impact and are hoping to bring as many folks to the table."

General Mills is obligated to negotiate with its union in an attempt to retain jobs, Christianson said.

But no dates are set for such talks. Christianson declined to offer specifics.

"There's always a little bit of hope that you look for," Miller said. "But gut feeling is it's a done deal."

General Mills has indicated it has no complaints with its workforce or facilities, Chesser said.

"That gives us something to market. The plant is FDA-certified. We could with our partner organizations like WorkOne Southern Indiana and Ivy Tech on skills training or displacement services," she said.

Union members will gather informally Thursday to discuss next steps.

"Some can retire, but a lot of us have known nothing else," said Miller, who marked his 33rd year at Pillsbury recently. "There's just not any jobs, like we have in this area for sure. Not too many more left in North America."

Copyright 2015 WAVE 3 News. All rights reserved.