ICYMI: Illinois Company Moving to Indiana because "Environment isn't friendly"

Statement from Director of Communications Lance Trover about Illinois-company Hoist Liftruck moving its operations to East Chicago, Indiana.

"This is further proof of why Governor Rauner's reforms are needed so we can keep jobs from fleeing Illinois like they have been for years. Unlike Speaker Madigan who believes all is well with Illinois' job climate, Governor Rauner understands that small business owners need help getting out from under the weight of the politicians in Springfield who refuse to reform our business climate and simply want to raise taxes."

It's in response to a story from Crain's Chicago Business where the company cited Illinois' unfriendly business climate as the reason for its departure. An excerpt of that story is below:

The growing company needed more space for its manufacturing operations, and when it found a suitable building in East Chicago, it decided to make the leap. It was an easy decision, because Indiana offers a better business climate than Illinois and Hoist will save "many millions of dollars a year" by moving, said Marty Flaska, president and CEO of the company.

"The environment isn't friendly for what I do" in Illinois, Flaska said.

In East Chicago, he said, Hoist will save $1 million annually on workers' compensation-related costs, a significant sum for the firm. Workers' compensation lawyers in Cook County right now are bringing three to four illegitimate claims against the firm a month, costing it money, according to Flaska.

Indiana also offers lower taxes for the company and less-expensive housing for his employees, he said. Hoist employs welders, assemblers, material handlers and other production workers.

Incentives played a critical role in the company's decision to leave Illinois. Hoist will be able to lay claim on a big package of tax credits as it ramps up operations in East Chicago. By 2022, the company plans to employ around 500 people there.

...Illinois couldn't compete, Flaska said.

Hoist's decision to move its manufacturing operations out of Illinois is but the latest example of a manufacturer seeking greener pastures in Indiana or Wisconsin, both of which have forcefully recruited Chicago-area companies.

Firms that have left the region for Indiana or Wisconsin include commercial-lighting maker Kenall Manufacturing; AM Manufacturing, a dough-processing machines maker; and steel firm T&B Tube.

Chicago-based Edsal Manufacturing, meanwhile, recently chose to create a 300-person operation in Gary.

Governor Bruce Rauner has proposed significant reforms to Illinois' workers' compensation laws. His recent memo to legislators outlining how his reforms will positively impact Illinois to grow the economy is attached.