For Immediate Release
August 27, 2018
Contact: Courtney Beyer, courtneyb@wisdems.org


5 Questions Scott Walker Must Answer on Foxconn's Broken Promises
 

MADISON -- The Foxconn façade is officially crumbling. With several more troubling reports coming out last week about the changing details of the project, it’s time for Wisconsinites to finally get some answers from their leaders. And since this negotiation started at the top, it’s only fitting that Scott Walker be the one to answer for his botched deal.
 
Here are just a few of the questions Walker should immediately answer:
 

  • When did you know Foxconn had scrapped its plan to build the state-of-the-art Gen 10.5 factory that was committed to?  
  • This factory is much smaller and could create far fewer manufacturing jobs than the larger plant. How can you still guarantee that Foxconn will meet its commitment of creating 13,000 jobs?  
  • Taxpayers have already committed to over $1 Billion in public assistance to Foxconn not tied to the creation of a single job. Do you have a plan to get that money back if they fall short of their promises?
  • When did you know that Foxconn planned to automate nearly all of the factory jobs in this plant? Do you still think this project is creating the type of jobs Wisconsin workers are looking for?  
  • Foxconn handed out big contracts to several of Walker’s donors. Can you promise that Foxconn money isn’t being used to support your campaign in any way?

 
This is just the tip of the iceberg. Walker has refused to speak out at all about Foxconn’s shady bait-and-switch tactics, and it’s only creating more and more questions. Wisconsin taxpayers deserve to know the truth.
 
“It’s time Scott Walker take responsibility for Foxconn’s broken promises, and answer for his botched deal,” said DPW Communications Director Courtney Beyer. “Wisconsin taxpayers are on the hook for billions, and Walker refuses to make sure they get what they paid for. This deal is looking worse and worse, and Wisconsinites deserve answers immediately.”
 
Background:
 
Foxconn’s Louis Woo Announced The Company Would Build A “Generation Six” Plant In Wisconsin, Rather Than The Originally Planned Generation 10.5 Plant.  "In its first phase, Foxconn will build a manufacturing operation for Generation Six liquid-crystal display panels, rather than the Generation 10.5 LCD panels as initially announced. Generation Six panels are much smaller than those of Generation 10.5.  Woo explained that by the time a Generation 10.5 operation could be built, it would have so much competition from others in China that the market would be glutted. The market indicated a different type of operation here." [Journal Times, 8/22/18]
 
Milwaukee Business Journal: Foxconn Executive Louis Woo Said The Workforce At Foxconn’s Wisconsin Facility Had “Transformed To Mostly Engineers And Research And Development Scientists.” "As plans continue to evolve for Foxconn Technology Group’s $10 billion manufacturing complex in Racine County, the makeup of the 13,000 employees the manufacturing giant will need has transformed to mostly engineers and research and development scientists.  Louis Woo, special assistant to Foxconn founder and CEO Terry Gou, said in an exclusive interview with Milwaukee Business Journal editor-in-chief Mark Kass that when the project was first proposed in July 2017, company executives expected 75 percent of the employees to be assembly workers. But as plans have been developed and technology continues to evolve, Foxconn now believes at least 80 percent would be engineers and research and development scientists." [Milwaukee Business Journal, 8/23/18]
 
Foxconn Executive Louis Woo Said The Company’s Wisconsin Workforce Had Shifted From 75 Percent Assembly Workers To At Least 80 Percent Engineers And Scientists. “Louis Woo, special assistant to Foxconn founder and CEO Terry Gou, said in an exclusive interview with Milwaukee Business Journal editor-in-chief Mark Kass that when the project was first proposed in July 2017, company executives expected 75 percent of the employees to be assembly workers. But as plans have been developed and technology continues to evolve, Foxconn now believes at least 80 percent would be engineers and research and development scientists." [Milwaukee Business Journal, 8/23/18]
 
Journal Times: Louis Woo “Said Foxconn Has Dramatically Changed Its Initial Presumptions About How It Would Manufacture In The United States.” "Woo said Foxconn has dramatically changed its initial presumptions about how it would manufacture in the United States. Originally the company figured it would simply duplicate its China model here — until it realized that the much higher labor costs here would guarantee failure.” [Journal Times, 8/22/18]
 
2018: Master Planner For Foxconn Project Was Company Run By Jon Hammes, The Finance Chairman Of Scott Walker’s 2018 Campaign. “Foxconn Technology Group on Monday selected a company led by a Republican megadonor with close ties to Gov. Scott Walker to develop the master plan for its massive campus in Racine County. … Hammes is led by Jon Hammes, Walker’s campaign finance chairman for his re-election bid this year.” [Associated Press, 5/14/18]
 
Wisconsin Budget Project“More Than A Third Of The Public Assistance To Foxconn (36%) Has No Direct Connection To Job Creation.” "Proponents of the Foxconn deal have justified the large cost of the assistance package by pointing to the number of jobs the company could bring—but more than a third of the public assistance to Foxconn (36%) has no direct connection to job creation." [Wisconsin Budget Project, 1/29/18]

 
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