Energizer informed local and state leaders Thursday that it will close its factory in Bennington and move those operations to Wisconsin.
The news is “extremely disappointing,” Vermont Gov. Phil Scott said in a prepared statement. “My team is working to learn more from the company about this decision.”
With Energizer moving to consolidate its operations at its existing facility in Portage, Wisconsin, Scott blamed Vermont business policies for driving companies out of the state.
“This decision is an unfortunate example of why those of us in Montpelier need to work together to make Vermont a more affordable place to do business and make sure our policies help businesses thrive rather than creating unique burdens and barriers to growth that make us less competitive with other states,” he said.
Sen. Dick Sears, D-Bennington, said he wouldn’t be so quick to blame state policies for Energizer’s departure.
“I think it’s evidence that our Agency of Commerce needs to work much harder with current industries to make sure if they’re having thoughts of leaving that we do what we can to keep them here,” Sears said.
Just last year, the state Agency of Commerce and Community Development awarded Energizer a $71,060 Vermont Training Program grant to train workers and add up to 10 new positions.
“This industry has been given lots of tax breaks; we’ve done many things to keep Energizer here,” he added.
Sears said federal agencies could do more to make sure that larger states like Wisconsin don’t effectively undercut smaller states with even bigger tax breaks.
Sears and Scott said they would reach out to Energizer and other local businesses — both mentioned Mack Molding — to try to find jobs and training opportunities for those losing their jobs. About 100 people at Energizer will lose their jobs, according to WCAX-TV.
James Trimarchi, director of planning at Southwestern Vermont Medical Center, said on Friday that Bennington has lost more than 2,000 jobs since the recession started in 2008. The area has a low unemployment rate of just 2.9%, but employment opportunities have also declined.
Trimarchi said the economically depressed town will feel the closing of the plant.
“They’ve been laying off people over the last five to six years,” said Trimarchi. He said he had heard that the plant had been reducing its production over the years, and only makes one type of hearing aid battery there now.
“The loss of any jobs in Bennington is an issue,” said Trimarchi, who on Thursday attended a workforce summit in Bennington with state political and business leaders to talk about creating a better climate for attracting workers and jobs to the region.
Bennington has struggled with a declining population and other economic problems in recent years. While there are several major manufacturers in the area, workers in Bennington earn less than their peers in many other areas of the state. The average wage in Vermont is $46,186. The average is about $41,000 in the Bennington and Brattleboro labor market areas, according to the federal Bureau of Labor Statistics.
While SVMC and other local employers are trying to find workers, and the closing of the factory won’t necessarily help, said Ray Smith, director of marketing and communications.
“The skill set may not match,” said Smith. “If we need a nurse, you can’t hire someone from Energizer. And you need a diversity of employers in the community. Energizer provides some of that.”
Energizer said in an email to Sears that it is now the world’s largest manufacturer and distributor of batteries and portable lights.
“In order to be successful as a larger company, we are making significant investments to better utilize our existing manufacturing facilities, reduce complexity in our operations, and enhance service to our customers,” wrote Marcus Boolish, Energizer’s director of government affairs.
Colin Meyn contributed reporting.
Correction: This article has been updated to correct the misspelling of the name Mack Molding.
