Posted on 08/06/2014 3:03:23 PM PDT by BenLurkin
CHATSWORTH (CBSLA.com) — Hundreds of Angelenos could soon be out of work after Nestlé USA announced it will relocate a Hot Pockets facility in Chatsworth back east.
KNX 1070’s Margaret Carrero reports the 184,000-square-foot production facility in the 9600 block of Canoga Avenue has been making the popular snacks since 1988
The Glendale-based Nestlé USA will move the Chatsworth operation to another facility in Mount Sterling, Kentucky, where the company will invest $13 million and hire 150 new employees locally as the operation converts to a round-the-clock schedule, officials announced.
Approximately 360 employees will be impacted by the closure, but Nestle officials say some may be able to relocate to their Kentucky facility where Hot Pockets production will be shifted some time in October.
In a statement, Nestlé USA’s Chief Technical Officer Martial Genthon said the decision to consolidate production to one location came after exhaustive analysis.
“Unlike other manufacturing facilities we operate in California, the Chatsworth facility presents some challenges to our business needs,” said Genthon. “While the decision to stop manufacturing Hot Pockets at our California facility is a tough one because it affects 360 of our Nestlé employees, it is the right decision for our business.”
Nestlé USA bought the Hot Pockets and Lean Pockets brands in 2002.
Local business owners like Lonell, who has owned a small machine shop in Chatsworth since 2011, said she can understand the move given the city and state’s high tax rate.
“They tax you on the seat you sit in, the computer you use, the machinery you use, then you have to pay tax to keep the machinery and operate it,” she said. “It just doesn’t make any sense.”
It was not immediately clear what will happen to the facility once Nestlé USA completes the transition.
Economist William Roberts, director of the San Fernando Valley Economic Research Center at Cal State Northridge, told the Daily News that it will not be easy to repurpose the facility or replace the jobs.
“There is still a lot of empty space throughout the Valley so it’s not like there is a lack of places to buy and build something,” he said. “I’ve seen places lie vacant for five or six years.”
People still eat Hot Pockets? I call those years my sad years, not just poor but no rays of sunshine. Really folks, you’ll feel much better about yourself if you never eat another hot Pocket.
“It was not immediately clear what will happen to the facility once Nestlé USA completes the transition.”
It will sit empty for a couple of Decades until it either burns down, is torn down, or Republicans regain control of California.
Most aren’t dumb enough to open a new factory in California these days, unless it has HUGE government subsidies and tax breaks.
Popular, I wouldn’t go that far. “better than gnawing off your arm due to extreme starvation” -yes. Popular-no.
CC
Hot Pockets ,invented after someone Puked in their pocket ?
Hot Pockets aren’t fit for dogs.... They’re horrid. I doubt anyone could make me eat a bite of one even at gunpoint.
I live in California...
Another California business runs away.
According to Gov Jerry Brown Californians don’t need jobs, they need more welfare and EBT cards.
Seriously, he actually said that.
He and the rest of the Democrats are working hard to make that a reality.
“Approximately 360 employees will be impacted by the closure, but Nestle officials say some may be able to relocate to their Kentucky facility where Hot Pockets production will be shifted some time in October.”
When a company says “some may be able to relocate”, I take it they don’t want many (or all) of those employees. I don’t know if it is a union or wage issue, but in any case employees with mortgages might have a hard time following the jobs.
I think the mobility to follow jobs will prevent many young people from ever buying homes, and probably having children as well...
I can honestly say I never heard of them, never seen them. I don’t miss them either after having seen this. http://www.youtube.com/watch?v=Tkl4Y0sxerQ
California will miss the jobs though.
For grins I asked the question of Google. It seems they are very popular with people who are drunk or high with the munchies.
California and Governor Moonbeam strike again.
I sometimes wonder if, the option was available, some of the GOP areas in eastern California wouldn’t jump at the chance to join Nevada or Arizona.
Is there some restriction on their migration?
(unlike illegals, apparently)
My guess is that most of the people who will lose their jobs voted to lose their jobs.
The Republicans won't regain control of California anytime soon. They just nominated a clown to run against Jerry Brown, so he will be in office another four years.
True, they’re what you eat when you’re messed up and there are no White Castles around.
A snack for latchkey kids.
I knew someone would post that.
thanks.
the routine that made him famous.
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