The governor of Wisconsin has called for increasing job-retention tax credits to entice consumer products giant Kimberly-Clark to keep two manufacturing facilities open in northeast Wisconsin, rather than eliminate 600 jobs. The maker of Huggies diapers announced last month it was launching a restructuring plan that would lead to the closure of 10 plants and the elimination of up to 3500 jobs. Two of those plants, accounting for about 600 jobs, are located in Wisconsin.
Republican Scott Walker, who is up for re-election in November, wants the Wisconsin Legislature to increase the tax credits from 7% of payroll to 17%. That would put them in line with incentives offered to Foxconn Technology Group under a nearly $3 billion package Walker signed last fall to lure the Taiwan-based company to the state.
“Retaining outstanding Wisconsin companies like Kimberly-Clark is just as important as attracting new companies to our state, which is why I’m proposing we offer larger tax credits to ensure the company keeps those 600 jobs where they belong — in Wisconsin,” Walker said in a statement.
One of the plants, based in Neenah, makes nonwoven products and is slated to close within 18 months. There is no closure date announced for the other plant in nearby Fox Crossing, which makes Depend adult diapers and other personal care products.