NVR Logo
Major employer leaving Napa
Dey LP gone in next 24 months, 500 employees affected
Monday, September 08, 2008
Save and Share Share
4 p.m.During the next 24 months, pharmaceutical giant Mylan Inc., the parent company of Dey LP will phase out operations and close its doors in Napa.

The operations in Napa will be relocated to somewhere in the Northeast, according to Michael Laffin, a spokesman for Mylan.
About 500 employees in Napa will be impacted by the announcement that was made on Monday. Laffin said he could not say if employees will be able to transfer or let go.

“I cannot be anymore specific than that right now,” Laffin said.
38 comment(s)

JustMy$.02 wrote on Sep 8, 2008 4:15 PM:

" Yep, this state (thanks to a democratic state senate) just keeps getting more and more UNFREINDLY to corparations,

But hey lets vote for Obama and the whole nation can join us in hating companies that actually provide decent wages.

Ya that'll work "

C'mon reg get it right wrote on Sep 8, 2008 4:40 PM:

" Hey 2 cents. If only it were that easy. Large corporations buy up smaller corporations for economies of size then realize they have redundant operations in several locations. So the location that gets shutdown is the one with the largest labor cost. So lets blame the dems for getting emloyees a higher wage in the first place. If it were just so simple as to who we voted into office then the last 8 years of Bush would be heaven on Earth. Lets put the blame on apathetic voters, politicians on both sides of the isle that could care less about working stiffs and businesses. "

doscentavos wrote on Sep 8, 2008 4:41 PM:

" How partisan can someone be? A major employer leaves affecting 500 employees AND their families..and you've made it political.
Escalating insurance costs, medical premiums are the main reasons companies relocate..in this case, to the Northeast. "

les wrote on Sep 8, 2008 4:43 PM:

" Mylan, headquartered in the Northeast purchased Dey 2 years ago and has gradually streamlined operations with reduction. The CEO left a few months ago and is now at a small company in Petaluma. This isn't a situation where the state is difficult to deal with, but rather a large company buying a small company and moving it. This happens in the Pharmaceutical industry every day. The SF Bay Area and California are the number 1 areas for the biotech industry and the home of many biotech startups. "

RichardS wrote on Sep 8, 2008 4:47 PM:

" As an employee of Dey for the Past 8 years I am pleased to have found this out from rumors to look at the internet that had the news posted on the Mylan site before it was relaesed to the employees of DEY.

I for one have been predicting the loss of employment for some with the possible sale, but now that the facility will be closed I just dont know what 500 of my co-workers and I will do.

This is a big loss for Napa as well since it is the largest employer in the valley, but hopefully the valley will gain an new and better buyer of the land and facility.

For more information look at: www.mylan.com "

common sense wrote on Sep 8, 2008 5:26 PM:

" Joe Biden's son is a lobbyist for pharmaceutical companies. You'd think that would be worth something. "

jmo wrote on Sep 8, 2008 5:39 PM:

" Sorry to hear about your situation and how you found out RichardS. Are these production, research or distribution positions...combination there of???

I think the state hospital, Queen of the Valley and the insurance firm at 12/29 intersection are bigger employers in the valley. Correct anyone? "

russ wrote on Sep 8, 2008 5:58 PM:

" This is very bad news for Napa and it's many employees. They are/were a client of mine. Good folks.

I suppose some would say good riddance to an evil greedy corporation.

Remember that successful, profitable corporations employ many people and spend lots of money in their communities. "

misfit wrote on Sep 8, 2008 6:03 PM:

" Let's not forget the cost of leasing the buildings that they occupied. I lost a job because my company in So.San Francisco didn't want to pay the more than 1 million per year to lease the building. They moved to Pennsylvania. "

Dwayne wrote on Sep 8, 2008 7:00 PM:

" Company's are leaving California in droves...

Care to venture a guess as to why...??? "

db76 wrote on Sep 8, 2008 7:12 PM:

" Napa State Hospital has over 300 employees. "

db76 wrote on Sep 8, 2008 7:19 PM:

" " Company's are leaving California in droves...

Care to venture a guess as to why...??? "

Probably because the American economy is in the dumps because all of our tax dollars and being sent to Iraq by the boat load. "

Dwayne wrote on Sep 8, 2008 7:49 PM:

" It's not the "american economy".....

Try again...... "

napan1961 wrote on Sep 8, 2008 8:00 PM:

" According to the Napa Chamber of Commerce website...
Napa State Hospital: 1778 Full time employees
Queen of the Valley Hospital: 1200 Full time employees
Dey L.P.: 850 Full time employees
Cultured Stone: 700 Full time employees "

orange99 wrote on Sep 8, 2008 8:14 PM:

" Silverado Country Club is a major employer in Napa as well. "

db76 wrote on Sep 8, 2008 8:47 PM:

" They're not just leaving California, they're leaving the whole country. And it's been happening for the last 7 years. Sorry, try again Dwayne. "

keepinitreal wrote on Sep 8, 2008 9:53 PM:

" I'd guess Napa Valley Unified has its fair share of employees. "

musikluvr wrote on Sep 8, 2008 9:57 PM:

" Why do you think the CEO left a couple months ago with all those accolades and platinum parachute? The big rat left the sinking ship because had insider info and you employees get to go down with the ship. He was such a nice guy!!! "

robbys22 wrote on Sep 8, 2008 10:00 PM:

" Seriously?? Someone wants to blame the Democrats? The Republicans have held the presidency for 8 years and controlled Congress for much of that time as well, not to mention the Repbulican Governor who's been in office for 6 years so far, and you blame the Democrats? Sorry to spit in your soup, but this isn't a partisan issue. This is more an issue of how difficult it is to do business in California, when states like Massachussetts, Tennessee and Pennsylvania offer so many attractive tax deals to locate companies there (thus bringing jobs to their local economies). Drop the partisan finger pointing, and let's realize that some of our friends and neighbors are losing their jobs during an extremely difficult financial time. "

Paddy wrote on Sep 8, 2008 10:04 PM:

" Welcome to the Global Economy where CA gains third world status and "...somewhere in the Norteast" means China. "

reason-ator wrote on Sep 8, 2008 10:10 PM:

" There are many people to blame, and they all have other people to deflect blame to.

Administrations can blame other administrations. I would love to blame consumers, but insurance companies don't give consumers any choices.

We're killing ourselves in this country, and it's all because wealthy companies want to be wealthier.

Anybody in power who could stop the bleeding would get crucified by Big Business if they ever got into power to begin with. But they wouldn't GET into power without being beholden to Big Business in the first place.

And neither the Dems or the Republicans are going to go against the Big Businesses, no matter what kind of change they say they're interested.

Am I cynical ? "

napablogger wrote on Sep 8, 2008 11:51 PM:

" I read their press release but it really didn't say why they were moving the facility, other than the implication that it would save them money. As usual everyone is commenting without knowing the facts. It would be nice to find out the more specific reason so that we can respond to it.

I used to be a recruiter in the pharmaceutical industry and Dey has a sterile facility that manufactures parenteral drugs, injectibles, which is expensive to build. At one time I believe they had two facilities, but I haven't kept up with them.

In any case, it may be attractive to another sterile manufacturer in drugs, chemicals or the food industry and I would suggest our government look into what we might be able to do to attract another company to that location.

I actually placed an engineer there in 1994 or so, and the issues then were high cost of real estate and the state income tax. There are a lot of drug companies in the Bay Area but a limited number do sterile manufacturing which is the kind of background needed there. "

past dey employee wrote on Sep 9, 2008 4:15 AM:

" As a past Dey employee, I wish everyone all Dey employees- the best of luck. It was a good place to work before Mylan. "

B-Side wrote on Sep 9, 2008 7:06 AM:

" When one company buys another jobs are lost. It happened to me back in '99.
We were told we would have jobs with the new company but instead every one of us were let go. I know other people that could tell the same story. That's just the way it is in the corprate world.
napablogger-I believe they also have a plant in Texas. "

RichardS wrote on Sep 9, 2008 7:07 AM:

" One other thing to add here is that DEY donates thousands of dollars a year to the local college and to the community! This is all done for 2008 but next year their won't be anything. I do know that the current community fund is around $25,000.00 not countung what goes to Napa Valley College. "

Dwayne wrote on Sep 9, 2008 8:59 AM:

" Environmental regulations, taxes, labor rates and availability, and water availability are four burdens facing California's businesses, and when it is required to put an afterburner on a bakery oven to burn off ethanol, that is getting ludicrous...

A California migration study found that among companies that left California, 9% went to Nevada and 21% to Mexico. Texas also did well enticing California corporate refugees....

Congestion and high prices have lowered California's quality of life....

No, this is not an "American" problem, it is a left-wing whacko environmental problem, brought about by the short sighted liberals who run the most leftie state in the country...

Workers' comp costs are among the highest in the country, which is a top concern among management.

While California provides all those disincentives to do business here, other states are providing positive incentives to lure California companies to their state, and it's working..... "

napablogger wrote on Sep 9, 2008 10:22 AM:

" Dwayne, well that is one way to cut the population here. "

RichardS wrote on Sep 9, 2008 11:07 AM:

" A mistake from earlier I said that DEY donated $25,000.00 to the commi=unity. It Is actully over $100,000.00 just to the community in Napa! This does not count the money they give to the college and other communities. And Dey has over 500 full time employees in napa, but that does not count all the temporary employees that they have as well. "

vocal-de-local wrote on Sep 9, 2008 11:12 AM:

" At onetime I believed I could never live anywhere else except California. But now I'm not so sure. I have two sons, one in the job market and doing well because he moved to a larger city, the other in college. If they remain in California, their options will be limited. I think that the job market is drying up in smaller towns and that most of the opportunities will be concentrated in bigger California cities. Unless small towns have a lot of resources to support big business, they will have to fall back on trades such as tourism.

I believe that part of the problem in California involves over crowding. Our taxes pay for it on some level. Increased taxes affect business too. Consumer spending decreases and it filters down to affect business. It would be interesting to compare the employer health care costs in different states as well.

And yes, let's not hide our heads in the sand. Environmental regulation are driving costs up. California is more stringent than other states, for now. But let's evaluate WHY we are driven toward environmental regulation. It deduces down to one very big factor: over crowding.

Too many people is equated with too much garbage; too much contamination in our water; depletion of water and other resources; species impact; the impact of those species on other species; Droughts in California exacerbate the problem.

California was once mostly a desert. We managed to channel all that water into building bigger cities to house more people. But the people keep coming (immigration) yet our resources are limited. We have no checks and balances for this influx. Perhaps someone has seen the writing on the wall and is getting out while it's still profitable to do so. "

napamouth wrote on Sep 9, 2008 11:17 AM:

" Waaah, pass the kleenex! "

Chardonnay wrote on Sep 9, 2008 11:30 AM:

" Dey is not about republicans or democrats, it's about consolidation.

However I will agree that California is becoming increasingly harder to do business in. The bureaucratic red tape, regulations and tax burdens are making it increasingly more difficult. When our state is governed at the nation level as democrats do, it is only going to get worse. Bigger government means more regulations.

Hat's off to the Dey Employees, you will find other jobs. Our northern bay area is in short supply of educated and qualified workers regardless of what the media says. "

someguyinnapa wrote on Sep 9, 2008 12:46 PM:

" robbys22

thanks for the dose of reality! Much appreciated, mon! "

popoweb wrote on Sep 9, 2008 1:34 PM:

" Wow, as a former employee of Dey, I am saddened by the decision of Mylan.
I am fortunate to have left Dey when I did. My condolensces to those of you still there.
The rest of you, get off of the blame game. The decision by Mylan was monetary, they owe lots of money. Selling Dey would have given them the cash needed to pay down their debt. A decent suitor was not forthcoming, so they have done what makes fiscal sense, move Dey east closer to their headquarters. "

yamamama wrote on Sep 9, 2008 1:53 PM:

" A few years back my husband worked for a company that was bought out by a bigger company. They closed the operations in California and in other states and shipped the jobs to India. Only the top administration and stockholders remained in the U.S. "

Dirty Napkin wrote on Sep 9, 2008 5:21 PM:

" Ironic, I went to DMV today, and there is a sign hanging in the front entrance that says congrats to 30 years. NOT! "

bchiloquin wrote on Sep 9, 2008 7:24 PM:

" a couple of friends of mine lost there jobs at napa pipe when they moved to up here to oregon.in a staement by someone from the company to a news source up here, it was because of high taxes and union pay that made them move.also oregon had promised them reduced taxes and other incentives to come here.
that is probaly the real storie with dey. "

skeptic wrote on Sep 10, 2008 12:27 PM:

" it's not just california. if we calculated unemployment the same way as in the reagan years, it would be over 14%, that's for the u.s. but even worse in california. the average worker just lost $1500 in real dollars adjusted for inflation in yearly income , which is also twice what is being reported. why is inflation under-reported ? because things like the consumer price index are still being calculated based on one womans' formula made during the johnson administration. food was a larger part of the family budget and medical insurance much less.now , medical eats up 15-20% and increased in the last few years at 20% a year, though this year is "low" at 8.8% increase in our costs.this is not an "us vs. them" problem . it's not those wise folks in oregon who keep wages low by making it hard for unions to get good wages for the working class. it's not the smart people who run mexico in such a way as to guarantee no unions or wage increases for ten years, like at the auto plants.
this is a national problem and will increase to depression era levels of unemployment. as more millions are fired, there will be less incomes to propel the economy and pay taxes and buy things, which will lead to more layoffs and greater unemployment.
a local newscaster bemoaned the fact that we are putting no money into savings accounts, which would help the economy and create jobs. he failed to point out that, with inflation at %14, it makes little sense to put money into savings at 1/4th of 1%.
the federal reserve is doing this in purpose to limit savings and continue to entice people to buy houses when theyshouldn't. "

14obama wrote on Sep 13, 2008 4:08 PM:

" Who needs Dey anyway? Haven't you been reading the news ? Greed is rampant everywhere ! A bunch of self seeking,self righteous people who never give life a gift of God. I guess they think life goes on and on for them and have no idea of a happy without their love of money. Money has its purpose but loving it or putting it above all else becomes greed,the downfall. I can see it,can you ? "

Comment Guidelines
The goal of the story comments section at NapaValleyRegister.com is to have an open, thought-provoking, civil community forum for all issues.
What gets your comment posted?
• Staying on topic
• Keeping your comment to 300 words or less
• Avoiding name-calling
• Addressing your comments to the message rather than the messenger
What gets your comment deleted?
• Personal attacks
• Derogatory remarks
• Name-calling of any sort
• Going off-topic
• Hate speech
• Racially-insensitive comments
• Implying guilt of a subject in a crime story before there is a court verdict
• Posting e-mail addresses
• Posting comments of a commercial nature
• POSTING WITH ALL CAPITAL LETTERS
• Linking multiple comments together with "to be continued..." to get around the 300 word limit.
The fine print
- Comments are either approved or denied. We do not edit comments.
- You are welcome to modify and resubmit a denied comment.
- Comments may take several hours to be posted.
- Comments posted are those of the writer, and do not necessarily reflect the opinion of NapaValleyRegister.com, its employees or its parent company.
- Do you have information on a story? Please go to our virtual newsroom to send us a news tip.
- If you feel a posted comment has violated our guidelines, please contact online@napanews.com or add a comment indicating you have an issue and our moderators will review the comment in question.
Search:
Web Search Powered
By Yahoo! Search
Napa Valley Register on Facebook
Copyright © 2009 Napa Valley Publishing, a member of Lee Enterprises, Inc.
Terms of Use | Privacy Policy