Illinois-based State Farm Mutual Automobile Insurance Co. is planning to shut down two Indiana operations as part of a consolidation. The Indianapolis and West Lafayette facilities are among 11 closures through 2021 that are expected to involve a total of 4,200 employees.
The company did not immediately release the number of Hoosier workers that will be affected. The company says the decision was based on moves to streamline and improve processes, leverage technology and concentrate employees in larger locations and displaced workers will have opportunities at other State Farm locations.
Chief Administrative Officer Mary Schmidt says "we understand the decision to exit these facilities directly affects our employees and their communities. While the exits will begin in 2018 and continue over several years, we are announcing this decision now in order to give employees time to make personal and professional decisions. The company will continue to have a strong local presence in these communities through our agents and local claims employees."
The timeline for closings is:
2018: Parsippany, New Jersey and Petaluma, California
2019: Kalamazoo, Michigan; Irvine, California; Tulsa, Oklahoma
2020: Indianapolis; West Lafayette; Medley, Florida; Downers Grove, Illinois
2021: Bakersfield, California and Frederick, Maryland
State Farm currently employs 70,000 and work at the closed locations will be consolidated into its headquarters in Bloomington, Illinois; Atlanta, Georgia; Dallas and Phoenix.