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Apple Computer shuts down mfg. operations

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  • 1
    April 13, 2004 6:25:51 PM PDT
    235 people laid off from the Laguna location today as Apple announces they are moving their mfg operations to S. Ca.
  • 2
    April 13, 2004 9:40:48 PM PDT
    This is sad news for the employees.

    From KXTV News 10:

    Apple Computers Inc. is shutting down the production phase of its operations center on Laguna Boulevard in Elk Grove.

    Managers told workers this morning the company believes it can build its computers cheaper by outsourcing assembly to a firm in Southern California. One worker who did not want to be indentified told News10 much of the work will be undertaken by Quanta, a Taiwan-based computer manufacturing firm that already assembles Apple's PowerBook line of laptop computers.

    Workers at the factory say there are 400 people employed at the Elk Grove production center, which is located at 2911 Laguna Boulevard. They were told today they have been laid off and would be given severance packages. Apple would not comment on the number of workers affected.

    The company released a statement about the changes this afternoon. "As part of an ongoing effort to make our operations more efficient, Apple is closing its Sacramento manufacturing operation and moving most of its California-based manufacturing activities to a supplier in Southern California," it said, in part.

    Macintosh and iMac computers had been assembled at the facility. Apple also has sales, warehousing and shipping centers in Elk Grove. Those areas of operation are unaffected.
  • 3
    April 13, 2004 10:15:44 PM PDT
    very sad news.
  • 4
    April 14, 2004 8:27:56 AM PDT
    California State Automobile Association just announced that they will be moving call center job to Salt Lake City and Las Vegas.

    http://www.sacbee.com/content/business/story/8889718p-9816301c.html

    The article stated that "Staffing at offices used by members in Folsom, Roseville, Sacramento and elsewhere for those services will not be affected".

    They didn't mention the Elk Grove call center in Stonelake. I hope those jobs are included in the "elsewhere" category and are safe. The call center is the most prominent large employer in Laguna West due to its freeway visibility and has hundreds of employees that were moved into the facility in 2003.

    • 640 posts
    5
    April 14, 2004 9:22:49 AM PDT
    Very sad news. Apple was a big sponsor for many of our summer events and they sat on our Board. We should keep a very keen eye on who comes into that industrial space.
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    6
    April 14, 2004 10:45:37 AM PDT
    Is the JVC building still empty? Too bad we can't get some jobs here eh?
    • 343 posts
    7
    April 14, 2004 11:45:16 AM PDT
    I am so bummed to hear about the lay offs. Apple employees work so hard, loved their jobs and the company, and just couldn't compete. More jobs going away. What will our kids do for work? As a side, will we loose our summer concerts?
  • 8
    April 14, 2004 5:06:02 PM PDT
    I was very saddened by the news that Apple computer is shutting down. This was the first building I saw when I first went house hunting and it definately made an impact on me. I personally know 3 people that work there and it's a sad time for Elk Grove.
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    9
    April 15, 2004 9:12:38 AM PDT
    I guess the good news is that the call center and retail shop will remain at the site for the time being. That's about 750 employees according to the Business Journal.
  • 10
    April 15, 2004 11:15:38 AM PDT
    There is a retail shop there!? Your kidding me? I always thought it was just industrial, not retail. Talk about bad signage if that's the case.
  • Joe
    • 47 posts
    11
    April 15, 2004 12:24:18 PM PDT
    I believe it is just an employee retail store.
  • 12
    April 15, 2004 6:14:52 PM PDT
    Today's SacBee had an article entitled More Job Woes for Elk Grove. Couldn't find it on the Bee webpage, but it did end up on the Miami Herald's webpage:

    http://www.miami.com/mld/miamiherald/business/national/8439582.htm?1c

    The General Plan doesn't have enough land zoned for office /industrial uses that can cause Elk Grove to remain a bedroom community.

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    13
    April 16, 2004 7:57:16 AM PDT
    I submitted by analysis on office/industrial employment to the City (Planning Commission, City Council and staff) over a year ago. Even if ALL the office and industrial land were built out, we would only have about 1/3rd of the office employment per capita of Roseville. The General Plan is amateur and ignores the realities of what a City needs to grow. Not sure what expertise went into developing it, but it will have to be seriously modified with improved development decisions to allow us to become a destination city rather than a commuter city.
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    14
    April 16, 2004 12:56:38 PM PDT
    Roseville is a jobs rich City with about a 1.3 jobs per household ratio. This is the opposite of Elk Grove. Here, most of us have to leave the City to go to work, there most of the jobs are held by people who live somewhere else. There is a balance. We need the jobs (and tax revenue) but you have to think about how those people treat your City when they don't live there. Bottom line: beware of jobs/housing ratios. When there is no accounting for the the TYPES of jobs and the TYPES of housing then you simply are guessing about who stays and who leaves. We need to strive for jobs that fit the residents.
    • 2464 posts
    15
    April 16, 2004 5:02:30 PM PDT
    Sparky - I agree that the jobs have to match the residents. To that I can only ask - what percentage of Elk Grove residents who have office or industrial employment actually work in Elk Grove? I would have to make a (very uneducated) guess and say it is 10%. This group of people is not minimally served by Elk Grove at all from an employment standpoint.
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    16
    April 16, 2004 9:34:34 PM PDT
    It might not be a great idea but considering the size of their lot how about a Laguna West Mall or Outlet? Not great traffic wise but
    great revenue for the community....Just a thought no flaming please...
    • 2464 posts
    17
    April 17, 2004 7:30:38 AM PDT
    You're right Kengi - traffic would be brutal and please remember that the "community" that would share in this revenue would be the entire City of Elk Grove. In addition, I suspect that Westfield (the owner of Downtown Plaza that has been involved in fighting Lent Ranch) would put up a brutal fight to stop a mall just down I-5 from their mall.

    It's always good to bounce the ideas around.
  • 18
    April 17, 2004 10:01:25 AM PDT
    It's glaringly apparent that big business only looks at the bottom line. They answer to stockholders. More and more jobs will go off shore unless we can offer a better climate for big business here. Many states do everyting they can to encourage business to move to that state with tax incentives. We must legislate laws similarly if California is to remain in the forefront of America's economy. Recent workerscomp legislation enacted while Davis was Governor is a prime example of what not to do! We have the right Governor now. Let's hope he can turn things around.
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