Local News

Chiyoda receives tax abatement from Greencastle Council

In its final council meeting of 2023, the Greencastle Common Council tackled a tax abatement for Chiyoda USA Corporation, as the company looks to bring eight new automated jobs and an investment of $6.21 million in manufacturing and IT equipment, while retaining its over 350 employees.

The abatement is in place for a decade.

Greencastle mayor Bill Dory said the company looks to start at the end of the month and be completed sometime in 2025. 

Kevin Redding, president and CEO of Chiyoda's Greencastle facility, told those in attendance the majority of the work will be done on the new Subaru Outback model that will roll out once the current model stops being produced in 2025. 

"We are looking ahead a lot more higher levels of automation. We are going to see the need for additional higher wage positions as opposed to straight manual labor positions. We are taking business to the 20th Century. There are a lot of things we are doing to continue to advance the automation aspect of business. We look at this as a pretty significant investment for us," Redding told the council. 

Redding was asked about the fact that only eight new positions are being created and what that meant for current employees. 

"The advanced positions we have, we are posting internally first before we look outside. There are certain skill levels that we don't have so we are looking at opportunities to increase those skill levels. For example, we are partnering with Purdue University to provide a lot of training for our current folks and we are looking at other options to allow people in lower positions to skill up and take advantage of those growth positions," Redding said. 

He continued by saying the company is going to have to add a second shift paint liner and how that is one of the more skilled associates the company has. In addition, Chiyoda will look to interview three or four automated technicians next week, Redding said. 

"Those are typically a much higher skill level. These folks are really tough to come by. We have been searching nonstop for about a year and it's a struggle to find these people. I think the education system was caught a little flat footed with Covid and people's general attitude toward work, a lot of manual labor jobs that were available in the automotive industry are very difficult to get people to come to work," Redding explained. 

Redding was asked how Chiyoda has made an impact in the community, and he told a story that one of his first contacts in Greencastle was current councilwoman Stacie Langdon, who got Redding in touch with Putnam County Comprehensive Services. 

"Ever since that time, about four years now, we have been working with PCCS. We have brought them into building now and we have a contingent of folks who come in just almost every day and are side by side our associates. We are looking to increase that. We had an opportunity to use a local vendor for some of our products. We are trying to enhance our position in the community," Redding said. 

Dory told the council he had an opportunity to tour the facility earlier this year and saw that a lot of the automation is being implemented in house. 

"They have their own teams develop several different systems. Some of it is targeted in the really mundane stuff and some is targeted in quality control so it can produce the best possible product. It has been fascinating to see this operation at a grassroots level. Anytime we can help strengthen one of our companies in terms of technology and skilling up jobs, it is a benefit to our community. We have had conversations with Ivy Tech and Vincennes and several others about the need for people with automation skills, numerical control skills. Not only does Chiyoda want these people, but so does everyone else. Thank you for investment in the community," Dory said.

Search

Weather


Obits

Entertainment

Wet Ink