Ohio-based Diebold Corporation announced yesterday that in the coming weeks it will begin moving nearly 200 Ohio jobs to India.

You may recall hearing Diebold in the headlines exactly one year ago.

On April 12, 2011, John Kasich proudly announced that he had struck a deal to keep the company in Ohio in which the company accepted a package of state and local incentives totaling $100 million, including $56 million from the State.

 

The State’s agreement, outlined in the May 23, 2011 minutes of the Ohio Tax Credit Authority, grants Diebold up to $2 million per year over 15 years in state tax credits, “in exchange for a commitment from Diebold, Inc. to retain 1,500 full-time equivalent employees.”

At the time, Diebold boasted 1,900 Ohio employees. Kasich’s agreement actually allowed them to eliminate 400 jobs in exchange for receiving the ironically-named Job Retention Tax Credit. Kasich then went on to frequently tout the Diebold deal as one of his biggest job-saving accomplishments.

According to the Beacon Journal, Diebold currently employs between 1,700 and 1,800 Ohio workers. Today’s announcement that approximately 200 of those jobs will be eliminated means that the company will be left with somewhere between 1,500 and 1,600 workers in Ohio. That is dangerously close to violating the terms of the company’s agreement to maintain 1,500 workers in exchange for the tax credit.

Just think: Diebold was given 15 years to eliminate 400 jobs and they did it in just one! That’s efficiency.

Was it the company’s intention all along to eliminate these jobs when it inked the deal? We may never know.

Did the company play Ohio officials for suckers, getting taxpayers to build its new headquarters by pretending to consider a move to North Carolina and killing 400 jobs in the process? Looks like it.

We’ve said it before and we’re pretty sure we’ll say it again: John Kasich is a terrible negotiator. He gave Diebold $20 million more than North Carolina was willing to offer when they weren’t ever actually going to leave and allowed them to cut 400 workers from the payroll in the process. All in exchange for $56 million from the taxpayers.

Now Diebold has made good on its promise and will soon have 400 fewer employees than it did when Kasich touted the “job-saving” deal. The company downplays the job reductions, saying that, even with the cuts, it “expects it will have overall higher employment once it moves into the new site.”

Which is funny because it’s not at all what they said in a January press release:

Diebold’s new corporate campus will house about 1,500 of the company’s employees in its global headquarters.

In case you weren’t reading closely, that’s fewer jobs than today, not more.

But rest assured, readers, the company says it will still get the money:

The job losses will not impact public incentive packages related to Diebold’s plans to move into a new $100 million headquarters in Green, Jacobsen said.

Fool us once, get $56 million. Fool us twice, keep the $56 million. Everyone wins!

Evangelize!
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  • NMAXXS

    Sorry to be crude, but a big fat middle finger to Diebold and John Kasich.

  • http://www.facebook.com/frank.latella Frank M Latella

    Since the Governor is SO well respected in Washington ever since he single handedly balanced the National Budget when he was there, perhaps he should use his influence to help close the loop holes that allow American companies to continue to outsource jobs and circumvent  manufacturing rules that lead to loss of American jobs. 

  • Troysteelerfan

    Here is a prediction for how Kasuck and his GOP cronies and lackeys along with the tea party folks will spin this……the will all shout…”we lost these jobs to Indiana – a right to work state….this is why we have to pass this in Ohio”….wait and see…I will bet this enters the conversation on why/how this happened..

  • http://www.facebook.com/people/Gloria-Lynn/649311978 Gloria Lynn

     Very true, that’s what the Teapublicans will all be saying because they don’t know that India & Indiana are not the same thing….

    400 more American jobs moved offshore to India so King Wall Street Johnny can pad his own pockets even more after he gave them OUR hard earned tax dollars.

    Jobs killer King Wall Street Johnny has got to go.

  • Portia A. Boulger

     John Kasich is not going to stop until he throws as many Ohioans under the bus as he can in exchange for dirty deals that line the pockets of his buddies and himself.

    Join us in making the power of our votes last long after election day. RECALL PROTECTS US ALL! https://www.facebook.com/groups/350082011709503/ . We are working to amend Ohio’s Constitution to include recall rights for state elected officials. NOTE: This does not include judges.

  • igloonorth

    $56 million for 1500 jobs!  Such a deal!!

  • Troysteelerfan

    That was exactly my point….they don’t pay attention to facts….so they will spin it so bad….so far off base…that INDIA will be come INDIANA…these folks never let facts get in the way so why would they let “geography” get in their way

  • Spitfiremk1

    Diebold?  Aren’t they the ones who make voting machines that can be hacked by monkeys?  We should make them pay Ohio for embarrassing us by being here! 
     
    At the risk of being twice as crude as NMAXXS, two birds up to Kasich and Diebold, they have earned them.

  • Demydo

    Yes.  Let’s reword above to read:  Aren’ they the company who made and manipulated the machines and gave the election to Bush?

  • Demydo

    Correction: voting machines not machines.

  • Imrgp

    Diebold needs investigated for vote machine fraud!

  • pb_dirtgirl

    If you’re saying one can only understand business by taking $56 million in taxpayer subsidies, then we have big problems.

  • pb_dirtgirl

    Right, they do say that, but they also said in a corporate press release that employment at the new HQ would be 1,500. Both statements cannot be true. We will definitely keep following them, though things will be made much more difficult now that oversight is moving to JobsOhio whose records will be confidential. 

  • WILLIAM PARSONS

    HEY OHIO

    Love that Corporate Welfare????

  • Guest

    One important factor that has not been considered is that Diebold has “field” associates that work out of a home or regional office. Service techs, installers, sales, etc… Not saying the loss of jobs is right or wrong but there was a ton of cushion when that 1500 associates was negotiated with the state.

  • Spitfiremk1

    The answer to all of the above is: YES!

  • Modern Esquire

    Congratulations, you just won the dumbest comment on the Internet today.

    I’ve operated a business, played in the political arena, and negotiate contracts for a living.

    Paying this amount of money in a deal that was structured that the company could keep every penny of the money and still downside 20% of its workforce in the State and call that a job retention package is ludicuous.

    Everyone with any experience in these kind of deals calls the Diebold one over generous both in compensation and payback trigger terms.

    But if your experience and knowledge is superior, perhaps you can point out a similar deal?

  • http://twitter.com/Multnomah Multnomah

    It’s stealing the votes with machines in any election  and ‘voter repression’ that the Republican Machine ALEC has legislated in Republican held states. We can not allow voter suppression by any political party or corporation it will destroy our democracy.  This isn’t about Republican or Democrat this is about  ‘stealing votes’ from U.S. citizens, and we’re all against that aren’t we?  

  • http://twitter.com/Multnomah Multnomah

    Boogeyman, this isn’t about illegal’s, this is about stealing the vote or suppressing the votes of American citizens.  

  • http://twitter.com/Multnomah Multnomah

    The tea party doesn’t understand that the KOCH Brothers have funded their operation in order to control whatever the Koch brothers want to control.  

  • http://twitter.com/Multnomah Multnomah

    But in Ohio they Diebold may need to have a voter ID can a corporation have voter ID?  The Supreme Court says Corporations are like people and so does Mitt Romney.  The 99% of us need to get some leverage the loop holes are getting bigger and bigger and we the people are getting the short end of the stick.  Heck, it’s not even political parties anymore it’s under the radar organizations like ALEC and now Karl Rove’s CrossRoads GPS preparing legislation to Republican held states to make into laws for the rest of us in the state.  I see this kind of under the radar legislation by state, as a destructive act that put democracy under the bus.  

  • JLM452

    Typically- incorrect spelling, grammar and punctuation. Sure sign of a Tea Partier.

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