Kraft invests in Springfield

Northfield, Ill.-based Kraft Food Inc.’s manufacturing plant in Springfield is picking up two new production lines and creating dozens of full-time jobs in the process.

On Feb. 23, the Springfield Business Development Corp. announced Kraft’s intention to hire 50 employees and invest $9 million in capital into the new lines. The full-time, hourly positions are expected to pay more than Greene County’s $15.66 per hour average wage.

“The details and specifics won’t be publicly available, but the pay rates should be above that number,” said Todd Sherman, Springfield plant manager, adding that the newly created jobs primarily would be technical leadership and operator positions. No management jobs are expected to be added, he said.

The hiring process will begin when applicants express interest through Kraft’s corporate employment site, www.kraftcareers.com, and the preference is that candidates have experience in the food industry. Sherman expects to start filling some open spots between now and May, he said. However, not all workers will be hired at once.

“We’ll be taking a phased approach,” he said, adding that a timeline for each phase hasn’t been established. “We’re still sorting through the details.”

The new hires could push the Springfield plant’s employment to 1,000. Currently, the facility employs 800 full-time hourly employees, and another 150 part-time and salaried staffers, Sherman said.

The addition of two lines – shredded cheese and microwavable macaroni and cheese – will grow to six the number of products manufactured at the Springfield facility. Already produced at the plant are Philadelphia Cream Cheese, Kraft American Singles, Kraft Natural Cheese and Kraft Macaroni & Cheese.

The capital investment will cover production infrastructure and machinery, Sherman said. Physical expansion of the building at 2035 E. Bennett St. is not necessary, he added.
Kraft will receive help and incentives from state and local groups in exchange for its investment.

One possible form of help is job training assistance from Ozarks Technical Community College. Dawn Busick, executive director for OTC’s Center for Workforce Development, said the center has been in discussions with Kraft about training needs for the new jobs.

The manufacturer will receive nearly $400,000 in state tax credits from the Missouri Department of Economic Development’s Enhanced Enterprise Zone. Sherman said the EEZ credits were one of many factors Kraft considered as officials made the decision to add the lines to Springfield’s plant.

“Clearly, it played a role. We were happy with the work that the city, state and (Springfield Area Chamber of Commerce) did to help with the process,” he said.
Kristen Westermen, the chamber’s work force development manager, said it took about six months for Kraft to go through the process of applying for EEZ credits. Standard procedure for obtaining EEZ credits starts with the company and Springfield’s Partnership for Economic Development outlining the scope of the project, which includes the number of jobs, payroll, capital investment and timing, said Ryan Mooney, vice president of business development for the chamber.

After the scope of the project is determined, Mooney said, the partnership works with the DED to come up with an outline of incentives available to the company. Then, a notice of intent must be filed by the company, which is approved by DED.

“Nothing happens overnight,” Sherman said. “We’ve been working on it for a while.”[[In-content Ad]]