Carrier to layoff more than 600 workers despite $7 million tax break from Trump

In the early days following President Donald Trump’s victory in the 2016 election, the then-president-elect took credit for purportedly saving “close to 1,000” jobs by forging a deal with Carrier, an Indiana-based heating and refrigerating company.

The deal was widely criticized by union leaders, who claimed Trump was being dishonest about the numbers, and Democratic Sen. Bernie Sanders, who also pointed out that the deal sent the message that corporations could threaten offshore jobs and be rewarded with massive tax breaks.

Carrier has recently announced that it will layoff 630 workers starting next month, despite initially promising to layoff only 400.This is despite the $7 million tax break, among other incentives, Trump gave the company as part of the deal struck back in November 2016.

“This action follows a thorough evaluation of our manufacturing operations, and is intended to address the challenges the business faces in a rapidly changing industry,” Steven Morris, a Carrier manager in Indianapolis, wrote in a memo to Indiana’s department of workforce development.

President Trump has yet to comment on the recent announcement by Carrier. In November, after initially striking the bargain, Trump was quick to boast that “100 percent” of the company’s jobs would stay in the United States.

“Here’s what’s going to happen,” Trump said at an Indiana rally in spring 2016. “They’re going to call me and they are going to say ‘Mr. President, Carrier has decided to stay in Indiana.’”

He continued, “One hundred percent. It’s not like we have an 80% chance of keeping them, or a 95%. One hundred percent.”

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