WEDC has yet to claw back money from company outsourcing WI jobs - WKOW 27: Madison, WI Breaking News, Weather and Sports

WEDC has yet to claw back money from company outsourcing WI jobs

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MADISON (WKOW) -- Despite instructions from Gov. Scott Walker to seek an "immediate remedy" to recover state money given to a company that is outsourcing state jobs to Mexico for the second time in three years, officials with the Wisconsin Economic Development Corporation (WEDC) told 27 News late Friday that there is "nothing to report at this time" on those efforts.

Gov. Walker made those comments after a WEDC board meeting in late April, just three days after 27 News broke a story that the Eaton Corporation is outsourcing 93 jobs from its Watertown manufacturing facility to its plant in Tijuana, Mexico. Eaton plans to lay those workers off throughout the year with all of the positions being transferred to Mexico by December 31.

"We're not necessarily concluding that we can't take action even under the current arrangements. We're still trying to look through what other options we might have," Gov. Walker told 27 News on April 30, adding that he would also be open to more WEDC sanctions against companies that outsource.

But on Friday, WEDC Spokesperson Mark Maley made it clear that attempts to claw back some of the $370,000 in tax credits the agency has awarded Eaton Corp. since 2012 have been unsuccessful thus far.

"Our discussions with Eaton are ongoing and there is nothing to report at this time," Maley stated in an email.

A spokesperson for Gov. Walker referred all questions about the issue to WEDC. A spokesperson for Eaton Corp. has not responded to questions about whether WEDC has contacted them about clawing back some of the money.

A 27 News investigation from July 2014 found that Eaton Corp. had received over $190,000 in WEDC tax credits at that time, despite laying off 163 employees at its Cooper Power Systems plant in Pewaukee in April 2013.  The company moved those jobs to Mexico as well.

Gov. Walker is currently on a trade mission to Canada with WEDC officials.
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