Jindal for jobs for Louisianians!
KATCreports that with state help, Foster Farms was able to purchase the recently closed Pilgrim’s Pride chicken processing factory in Farmerville:
The Livingston, Calif.-based company, bought the former Pilgrim’s Pride Corp. plant in Farmerville with the state paying half of the plant’s $72.2 million purchase price.
The state helped pay the purchase price, but this is no ordinary DC style bailout: The company must meet certain job goals or they have to repay the state:
To avoid repaying the state aid, Foster Farms must meet incentive goals, including having at least 1,000 employees in a year and 1,100 within three. The company also is required to buy at least 95 percent of its chickens from contract growers, with preference given to Louisiana growers.
The chicken plant should provide 650 to 1000 jobs from $8 to $20 hour with health and retirement plans available. The Governor’s office was deeply involved in this effort:
The Jindal administration worked to help find a buyer for the plant amid warnings that Union Parish could suffer long-term unemployment that would spread to regional chicken growers and leave banks that finance grower operations with uncollectable loans.
The unemployment rate in Union Parish went from 7 to 13 percent almost immediately and this had a ripple effect on the local economy:
“It basically stopped the traffic in Farmerville,” Albritton said. “All of those 1,300 out there did not live in Farmerville. They live in other parishes and some came in from south Arkansas.”
Thomas Sevin, owner of Sevin’s Restaurant in Farmerville, said he immediately saw a 20 percent drop in business after Pilgrim’s Pride announced it was leaving town. But he said, “Everybody kept their head up and their faith in God.”
The plant also is the key to the region’s chicken farming industry. Grower Kathy Dudley, a former Pilgrim’s Pride contractor, is waiting to sell to Foster Farms.
“You’ve got 200-plus farmers and families that were completely out of work and income,” Dudley said.
