In New Hampshire’s nip-and-tuck gubernatorial race, the state Democratic Party attacked Republican nominee Kelly Ayotte over corporate board positions she held after dropping reelection to the U.S. Senate in 2016.
In a September ad backing the Democratic nominee, former Manchester Mayor Joyce Craig, the New Hampshire Democratic get together mentioned Ayotte served on firm boards that laid off 1000's of U.S. staff. (The advert says Craig licensed the get together's advert.)
Ayotte “sat on corporate boards where they bought up companies, gutted them and then pocketed the profits,” the advert mentioned. “Under Ayotte, they laid off 18,000 workers at one company. At another, they laid off 1,200 American workers, moving jobs overseas. All while Ayotte raked in $2.5 million.”
When contacted for remark, the Ayotte marketing campaign didn't dispute the $2.5 million compensation determine. Here, we’ll give attention to the advert’s claims about layoffs.
The New Hampshire Democratic Party offered PolitiFact with proof to assist each layoff numbers, however in each instances, the numbers omit important context.
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PolitiFact and WMUR-TV are partnering to fact-check claims in the 2024 New Hampshire gubernatorial race.
Blackstone didn’t oversee the layoffs of 18,000 MGM staff
Ayotte served on the board for Blackstone, an funding firm that had a three way partnership with hospitality firm MGM Resorts International, which laid off 18,000 workers in 2020.
Two factors undercut the advert’s assault.
First, this wasn’t a case of an organization chopping prices routinely or experiencing administration issues. The layoffs occurred in August 2020, when MGM was reeling from main journey declines due to the COVID-19 pandemic.
Second, blaming Ayotte or Blackstone Inc. for this resolution isn’t correct.
In January 2020, shortly earlier than the pandemic reached the United States, Blackstone mentioned its actual property division had established the three way partnership with MGM Resorts to take management of MGM’s actual property property on the Las Vegas Strip, together with the MGM Grand and Mandalay Bay hotel-casinos.
In its announcement, Blackstone said MGM Resorts would proceed managing the hotel-casinos’ day-to-day operations below the lease agreements, as the corporate had previously done with one other Las Vegas hotel-casino, the Bellagio. MGM would pay Blackstone, the actual property proprietor, to lease again the properties.
In essence, Blackstone turned the properties’ landlord. But it didn't handle the hotel-casinos’ staffing..
Caterpillar did lay off 1,200 staff, however total U.S. employment rose
The advert additionally solely tells a part of the story about heavy equipment producer Caterpillar, for which Ayotte served as board member from 2017 to 2023.
Caterpillar did lay off 1,200 staff, as paperwork filed with the U.S. government shows. This paperwork lets laid-off staff qualify for advantages below the federal Trade Adjustment Assistance program, which helps individuals who have misplaced jobs due to overseas competitors.
Between 2017 and 2020, Caterpillar’s federal paperwork filed for the layoffs cited disruptions resembling declining in gross sales, rival competitors and a shift of manufacturing to areas exterior of the U.S. In the filings, the corporate mentioned a number of the U.S. staff’ duties have been shifted to Belgium, Brazil, China, India, Ireland and Mexico.
The advert ignores that total, the corporate added U.S. jobs throughout Ayotte’s board tenure. Based on annual reports filed by the company, Caterpillar added 8,600 U.S. jobs throughout Ayotte’s board service, offsetting the lack of 1,200 misplaced jobs the advert talked about.
Our ruling
A New Hampshire Democratic Party advert mentioned that when Ayotte was serving on corporate boards, one firm “laid off 18,000 workers” and one other “laid off 1,200 American workers, moving jobs overseas.”
Ayotte served on the corporate board of Blackstone, which had a three way partnership with MGM Resorts when MGM laid off 18,000 staff because the COVID-19 pandemic hit and journey slowed dramatically. But Blackstone served as MGM’s landlord; it didn't function the corporate or dictate its layoffs.
Another firm for which Ayotte served as a board member, Caterpillar, laid off 1,200 U.S. staff throughout her tenure, and lots of the jobs moved exterior the United States. However, the advert ignores that Caterpillar’s U.S. employment elevated total by 8,600 jobs throughout Ayotte’s board tenure.
The assertion is partially correct however takes issues out of context. We fee it Half True.
