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Chatco closing Chatham doors, moving to Mass.
By Sesame Campbell
CHATHAM — Their stories are becoming all too familiar; victims of the recent slew of manufacturing jobs that have hemorrhaged from Columbia County. As another set of doors prepare to close on a business that has been in the community for decades, several Chatham residents employed at Chatco Plastics wonder what will happen to their families, their mortgages, and their health insurance.
“Most of us have been here for a long time,” said Karen Wheeler, a 23-year veteran who recently lost her job at Chatco Plastics. “I’m really scared.”
Her husband, Harold, was also recently laid off from the company, as was her daughter Agnes, each having put 27 and 13 years into the company, respectively. All are Chatham residents. All are now unemployed and uninsured.
When asked what she was gong to do, Wheeler shook her head. “I don’t know,” she said. “It seems like all the manufactures are closing their doors.”
Dianne Main is a receptionist at Chatco. While she still has a job, the 46-year-old Chatham resident doesn’t know for how long or what she will do when she is let go. It’s not a question of if, it’s a question of when. When asked what will happen when she is laid off, her answer was simple: “I don’t know. I won’t look for a job in the manufacturing industry. Manufacturing in Columbia County’s almost dead.”
Main’s older aunt, mother and sister worked in the company when she was a child. Now that her husband has been laid off from Kaz, Inc. in Hudson, Main said they aren’t bitter. “We’re just going to try to make the best of what it is,” she said.
According to Chatco Plastic officials, there were 18 people employed at the Chatham plant at the beginning of 2009. Currently there are nine full and part-time employees still working. With no final closure date, those who are left are waiting for their turn at the unemployment line.
Chatco Plastic President Jason Abrams said he feels bad for the Chatham families who are out of work. “It was not our intention to close down operations in Chatham initially,” he said. “And we have offered Chatco employees the option of relocating to Brockton. The economy is such that if the orders are not there, and people cut back everywhere, we have to consolidate our business and move Chatco to Massachusetts. It’s simple economics.”
Over the past year, the unemployment rate has jumped 50 percent in Columbia County, according to Ken Flood, commissioner of planning and economic development for the Columbia Hudson Partnership. “I’ve been in this business for 23 years, and this is the worse that I’ve seen it.” He added that across the state, other counties are experiencing the same difficulties as in Columbia County.
“Our unemployment figures in February were 8.2 percent, less than Greene County’s figures, which are almost at 10 percent. The real question is how does New York state become more competitive? The loss of jobs at Chatco is a terrible thing, with real people losing their jobs.”
Flood said he believes that the state needs to direct its focus on retaining businesses that already exist, and to help manufacturers permanently reduce their power costs.
“If you talk to manufacturers, power and property taxes are two of their biggest costs,” he said. “In North Carolina, manufacturers pay 5 cents a kilowatt. Here in New York state they pay eight to 10 cents. When Sonoco Crellin has a job come up, how could they compete with a company in North Carolina?”
Flood said he is currently under talks with the New York State Energy Research and Development Association (NYSERDA) to look at alternative energy programs that could help manufacturers reduce their power costs. “You have to change their cost structures to make it profitable for them to stay here,” he said.
Despite the numbers, Flood said he feels positive about Columbia County. “I’ve already had contact with someone who called me about the Chatco facility, who’s interested in purchasing it,” he said.
While Flood feels positive, there are those who say the problem is much deeper. Assemblyman Mark Molinaro, R,C,I-Tivoli, said there are broad economic effects that the move of Chatco will have on not only the community, but also to the people who lost their jobs.
“It is both a general economic crisis and a very specific personal crisis,” Molinaro said. “We are trying to give assistance to businesses and individuals as they try to find new work and transition through this economic crisis. We recognize the important ramifications to what has been a consistent job loss trend in our region. Beyond that we continue to fight with state leaders to make New York state more business friendly.”
Molinaro added that he hoped as the president and members of Congress addressed the economy, their conversations would trickle down to the three state leaders.
“Instead they created a budget to increase tax burdens on families, provide no relief for small business owners and do nothing to stimulate our local economy,” Molinaro said. “As a state we’ve become the most unfriendly in the nation for business.”
One glimmer of hope, Molinaro said, is that he and state Sen. Steve Saland have been working with the Columbia Hudson Partnership to respond to the region’s economic slide. “We’re aggressively pushing for additional resources for our area. Columbia County is feeling a very acute crisis and must have a very specific response from the state.”
Molinaro said that making state government more efficient and helping people who are losing their jobs in the region will be his single most important responsibility. “This is our window to bring in reform. Otherwise the taxpayer is going to continue to be the victim of New York state government’s lack of response.”
He noted that every economist has acknowledged that the nation’s economic condition will worsen before it gets better. “That being said, the economic stimulus will buy us some time. I’m hopeful that regardless of party affiliation, citizens across the state have been making it clear that New York state government needs systematic reform.”
Meanwhile, former Chatco company owner Daniel Crellin pointed to the economic problem in Columbia County as more than just a problem of keeping manufacturing from leaving the state.
“Look at the fiscal crisis in New York, where businesses are loosing a fair amount of money. I got my property taxes raised 28 percent over last year. The fact that my factory has one of the highest assessments in the village of Chatham doesn’t help any. When it’s an empty building, what’s its assessment then?”
“Most of us have been here for a long time,” said Karen Wheeler, a 23-year veteran who recently lost her job at Chatco Plastics. “I’m really scared.”
Her husband, Harold, was also recently laid off from the company, as was her daughter Agnes, each having put 27 and 13 years into the company, respectively. All are Chatham residents. All are now unemployed and uninsured.
When asked what she was gong to do, Wheeler shook her head. “I don’t know,” she said. “It seems like all the manufactures are closing their doors.”
Dianne Main is a receptionist at Chatco. While she still has a job, the 46-year-old Chatham resident doesn’t know for how long or what she will do when she is let go. It’s not a question of if, it’s a question of when. When asked what will happen when she is laid off, her answer was simple: “I don’t know. I won’t look for a job in the manufacturing industry. Manufacturing in Columbia County’s almost dead.”
Main’s older aunt, mother and sister worked in the company when she was a child. Now that her husband has been laid off from Kaz, Inc. in Hudson, Main said they aren’t bitter. “We’re just going to try to make the best of what it is,” she said.
According to Chatco Plastic officials, there were 18 people employed at the Chatham plant at the beginning of 2009. Currently there are nine full and part-time employees still working. With no final closure date, those who are left are waiting for their turn at the unemployment line.
Chatco Plastic President Jason Abrams said he feels bad for the Chatham families who are out of work. “It was not our intention to close down operations in Chatham initially,” he said. “And we have offered Chatco employees the option of relocating to Brockton. The economy is such that if the orders are not there, and people cut back everywhere, we have to consolidate our business and move Chatco to Massachusetts. It’s simple economics.”
Over the past year, the unemployment rate has jumped 50 percent in Columbia County, according to Ken Flood, commissioner of planning and economic development for the Columbia Hudson Partnership. “I’ve been in this business for 23 years, and this is the worse that I’ve seen it.” He added that across the state, other counties are experiencing the same difficulties as in Columbia County.
“Our unemployment figures in February were 8.2 percent, less than Greene County’s figures, which are almost at 10 percent. The real question is how does New York state become more competitive? The loss of jobs at Chatco is a terrible thing, with real people losing their jobs.”
Flood said he believes that the state needs to direct its focus on retaining businesses that already exist, and to help manufacturers permanently reduce their power costs.
“If you talk to manufacturers, power and property taxes are two of their biggest costs,” he said. “In North Carolina, manufacturers pay 5 cents a kilowatt. Here in New York state they pay eight to 10 cents. When Sonoco Crellin has a job come up, how could they compete with a company in North Carolina?”
Flood said he is currently under talks with the New York State Energy Research and Development Association (NYSERDA) to look at alternative energy programs that could help manufacturers reduce their power costs. “You have to change their cost structures to make it profitable for them to stay here,” he said.
Despite the numbers, Flood said he feels positive about Columbia County. “I’ve already had contact with someone who called me about the Chatco facility, who’s interested in purchasing it,” he said.
While Flood feels positive, there are those who say the problem is much deeper. Assemblyman Mark Molinaro, R,C,I-Tivoli, said there are broad economic effects that the move of Chatco will have on not only the community, but also to the people who lost their jobs.
“It is both a general economic crisis and a very specific personal crisis,” Molinaro said. “We are trying to give assistance to businesses and individuals as they try to find new work and transition through this economic crisis. We recognize the important ramifications to what has been a consistent job loss trend in our region. Beyond that we continue to fight with state leaders to make New York state more business friendly.”
Molinaro added that he hoped as the president and members of Congress addressed the economy, their conversations would trickle down to the three state leaders.
“Instead they created a budget to increase tax burdens on families, provide no relief for small business owners and do nothing to stimulate our local economy,” Molinaro said. “As a state we’ve become the most unfriendly in the nation for business.”
One glimmer of hope, Molinaro said, is that he and state Sen. Steve Saland have been working with the Columbia Hudson Partnership to respond to the region’s economic slide. “We’re aggressively pushing for additional resources for our area. Columbia County is feeling a very acute crisis and must have a very specific response from the state.”
Molinaro said that making state government more efficient and helping people who are losing their jobs in the region will be his single most important responsibility. “This is our window to bring in reform. Otherwise the taxpayer is going to continue to be the victim of New York state government’s lack of response.”
He noted that every economist has acknowledged that the nation’s economic condition will worsen before it gets better. “That being said, the economic stimulus will buy us some time. I’m hopeful that regardless of party affiliation, citizens across the state have been making it clear that New York state government needs systematic reform.”
Meanwhile, former Chatco company owner Daniel Crellin pointed to the economic problem in Columbia County as more than just a problem of keeping manufacturing from leaving the state.
“Look at the fiscal crisis in New York, where businesses are loosing a fair amount of money. I got my property taxes raised 28 percent over last year. The fact that my factory has one of the highest assessments in the village of Chatham doesn’t help any. When it’s an empty building, what’s its assessment then?”
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