SAN JOSE, Calif. (AP) — A new report says it will cost California taxpayers $2.3 billion to replace jobs lost from the closure of a factory that makes Toyota cars and trucks.
The report released Wednesday also says the layoffs that result from closing Fremont-based New United Motor Manufacturing Inc. will translate to a loss of $90 million in state and local taxes.
The report was prepared by a University of California, Berkeley professor for a panel studying the economic effects of closing the plant. The facility employs 4,600 and supports about 25,000 other related jobs in the state.
Toyota says it will stop production at the plant April 1. The decision came after GM, a partner in the factory, shed its share.
Earlier Wednesday, Toyota announced it will spend $250 million on bonuses to assist employees at the factory.
