Another Plant Scheduled To Close In Struggling Stanislaus County
MODESTO (CBS13) — A big food processor has announced it will shut down its Modesto plant, which means 265 people will soon be out of work.
It's another blow to struggling Stanislaus County. According to the new figures released Tuesday, the unemployment rate in Stanislaus County was 16.1 in December. That's up from November and much higher than Sacramento county and the state's unemployment rate.
Dawn Foods, a baking supply plant, is moving to Georigia. Experts say it won't be easy for workers to find new jobs.
The Stanislaus County Economic Development and Workforce Alliance CEO calls the Dawn food plant closure discouraging. "Have we hit bottom? I don't know. At times it seems like it can't get any worse and then we get an announcement that another plant is closing down," Bill Bassit said.
Dawn says it's moving out of state to reduce shipping costs and be more efficient. It's the second plant in Stanislaus County to announce a closure this month. Patterson Vegetable Company may soon close, leaving nearly 500 without a job.
"Anytime we have a displacement like this, it's certainly disappointing because we don't have that many new jobs we can offer to these people," Bassit said.
The bright spot could be the so called "Project X" in Patterson. If the plan materializes, it could create 1,500 new jobs.
But people working at plants slated to close may not qualify for the new jobs.
Sarah Nicols, 28, has spent two years looking for work. While she's eager to learn about Project X, she'd prefer work at home in Modesto.
"Our problem is we're here in Modesto. It's hard to get all the way out to Patterson if you don't have a car," she said.
Others looking for jobs point out additional plant closures mean more competition.
"That puts more people as an obstacle for me and anybody else that's trying to get a job," Courtney Stewart said.
Another new project on the horizon is Blue Diamond opening in Turlock, but that isn't scheduled for another year, so it won't help the employees at Dawn, which is slated to close in March.
