Durbin: Abbott Laboratories to lay off 180 workers
U.S. Sen. Dick Durbin called on Abbott Laboratories CEO Miles White to explain reports that his company plans to lay off 180 workers and replace them with foreign workers.
Durbin issued a statement that said he wants White to "reconsider this plan and retain these U.S. workers, who have dedicated years of loyal service to your company."
Abbott spokesman John M. Koval said the company recently outsourced some information technology work.
"Abbott regularly evaluates its competitive position and makes changes that reflect the strategic needs of its business," Koval said. "We recently outsourced some IT capabilities. We're retaining the vast majority of our U.S.-based IT jobs."
Koval declined to answer questions seeking further details.
Last Thursday, a witness provided sworn testimony to the Senate Judiciary Committee about Abbott's planned layoffs of 180 U.S.-based employees. They received 60-days notice and their last day would be on April 22, Durbin said.
Durbin also said the workers here would be "forced to train their replacements."
"You have awarded Wipro Ltd, a large Indian outsourcing firm, with a contract to take over the jobs of these American workers," Durbin said to White in a letter dated Monday. Durbin's press secretary John Normoyle said Durbin has not yet received a response from White.
"You are offering the U.S. workers severance of a week's pay for each year they spent at the company, but in order to receive this severance you are requiring these employees to sign away their right to sue or disparage the company," Durbin's letter said. "The severance packet you gave your workers contains a full-page ad listing jobs at Wipro."
Durbin also said he would "continue to push for legislation to reform the H-1B and L-1 visa programs, but the gaps in current law are no excuse for your company to treat your employees so unfairly.
"It should go without saying that such reprehensible conduct is not justified by whatever marginal financial benefit might accrue to your company, which is already making billions of dollars in profits every year," he said in a statement.
Since 2007, Durbin said he has repeatedly introduced bipartisan legislation to end the exploitation of the H-1B and L-1 visa programs to displace qualified American workers and offshore American jobs.