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HomeIllinois NewsMorton Grove family business uses tax savings to boost employees' wages

Morton Grove family business uses tax savings to boost employees’ wages

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MORTON GROVE – While one party is insisting that Congress' tax cuts isn't benefiting the middle class, Morton Grove manufacturer Sko-Die says the exact opposite. Shopfloor, a news source for the National Association of Manufacturers, spoke with Patrick Steininger, President of the 71-year-old company, who said his team will benefit most from the tax cut.

"The first thing I did when I found out what my tax savings would be? I took that money and gave a raise to all the employees,” said Sko-Die’s president, Patrick Steininger. “It came to about 3 percent per employee, on average.”

In addition to their pay raises, Sko-Die’s 70 employees will also see their workspace updated and expanded. Steininger plans to use the company’s tax savings to make sure Sko-Die employees have access to the latest and most efficient technology available.

“The instant they passed tax reform, I bought two new pieces of equipment—a big grinder that will grind dies more efficiently and a new press that will run twice as fast,” Steininger said. “That makes us more productive, more competitive and more profitable.”

The total price for Steininger’s technology investment? “About $1 million.”

Would this have happened without the federal tax cut?

“Without tax reform, we wouldn’t have made these investments,” Steininger said. “Absolutely not.” 

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2 COMMENTS

  1. Having worked my way through college by operating a punch press, (summers) at a similar stamping plant in Morton Grove – (which has now gone out of business, due to Chinese cheap labor competition and tariffs) – I find Mr. Steininger’s account inspiring and hopeful.
    Just two questions I wished you would have asked.
    Is Sko-Die using E-verify to ensure that all of its employees are legally entitled to work in the USA?
    Does Sko-Die employ American college kids to fill in their short-term labor needs?

  2. I worked various jobs in the five years before I decided to enter college.
    My last full-time job before college was with a grey-iron foundry in St. Charles, IL.
    That company made it a policy to employ college students in part-time jobs in the school year, and FULL-TIME in the summer.
    It was hard work, but paid well. The first time I was ever paid over $100.00 a week was at that job. (FIFTY years ago, already?)
    Clint, I agree with you. The exposure to the manufacturing world will give these college students a view of business realities they will NEVER receive in the cloistered atmosphere of college classrooms. Some may decide to pursue careers in manufacturing, of benefit to them, and to this nation.