Image source: Fox Business
Companies with offices in Chicago have moved offices, and Tyson Foods is the latest company to join Boeing, Caterpillar, and Citadel.
On Wednesday, the poultry producer announced it would be reuniting its employees at Arkansas, Tyson Foods’ global headquarters.
As a result, three offices in downtown Chicago, Downers Grove, Illinois, and Dakota Dunes, South Dakota, will be closed.
More than 1,000 employees will begin the move early next year, where they will work in three offices.
Tyson Foods CEO Donnie King released a statement saying:
“Bringing our talented corporate members and businesses together under one roof unlocks greater opportunities to share perspectives and ideas, while enabling us to act quickly to solve problems and provide the innovative products solutions that our customers deserve and value.”
Losing Tyson Foods will be another blow to the city of Chicago.
The city has already built a reputation for its crime, something McDonald’s CEO Chris Kempczinski has criticized.
The headquarters of the fast food chain are currently in Chicago.
Kempczinski recently claimed that crime is spreading to all corners of the city and revealed that people often ask him what’s going on in the city.
Speaking to the Chicago Economic Club last month about the plight of the city, he said:
“We have violent crime that’s happening in our restaurants… we’re seeing homelessness issues in our restaurants.”
“We’re having drug overdoses that are happening in our restaurants.”
“So we see in our restaurants, every single day, what’s happening in society at large.”
Chris Kempczinski said recruiting people for the McDonald’s office has been difficult.
“One of the things that I hear from our employees [is] … ‘I’m not sure it’s safe to come downtown.’”
McDonald’s said it would stay in Chicago.
Other companies, however, are more reticent about why they are leaving the city.
Tyson Foods said their move had nothing to do with the Chicago crime.
Other companies in Chicago
Last May, Boeing announced its departure from Chicago in favor of Washington, DC.
However, the company did not contribute to the determination of the crime.
Instead, analysts said the change signaled the company had lost the trade run to Airbus.
They suggested that Boeing primarily wanted to be seen as a defense and aerospace company.
Boeing was based in Seattle for decades, from its inception in 1916 until 2001.
Caterpillar and Citadel also announced they would be leaving Chicago and moving to various locations outside of Illinois.
The construction company was based in Deerfield, a suburb of Chicago.
Like other businesses, Tyson Foods had a tough year due to inflation.
The company said demand for chicken was extremely strong while its more expensive cuts of beef were softened.
During the last quarter, the average selling price of broiler chicken by weight decreased while the average selling price of beef and pork increased.
The price drop comes as consumers stock up on some premium cuts.
While consumer demand for meat has remained strong, consumers are switching between meats due to inflation.
Tyson Foods plans to launch new, more affordable options and add new, larger packs for value-seeking consumers.
Meanwhile, the company’s shares are down about 25% this year.