Major employers say abortion ban will affect expansion plans in Indiana

"We are concerned that this law will hinder Lilly's — and Indiana's — ability to attract diverse scientific, engineering and business talent from around the world."

Updated: August 8, 2022 - 2:59pm

Two of Indiana’s leading employers have said the passage of a near-total ban on abortion could negatively impact future expansion plans in the state. Eli Lilly and Cummins are the most recent employers to come out against the legislation.

Both chambers of the Indiana legislature passed a bill Friday that bars all abortions in the state with narrow exceptions for rape and incest, a serious threat to the life or health of the mother, or fatal fetal anomaly. Gov. Eric Holcomb signed the bill late that evening.

The next day Indianapolis-based drugmaker Eli Lilly released a statement saying it would “be forced to plan for more employment growth outside our home state. Lilly employs more than 10,000 people in Indiana and nearly 37,000 worldwide. The company also said it would expand employee health coverage to include travel for reproductive health services.

"We are concerned that this law will hinder Lilly's — and Indiana's — ability to attract diverse scientific, engineering and business talent from around the world. While we have expanded our employee health plan coverage to include travel for reproductive services unavailable locally, that may not be enough for some current and potential employees,” the company said in a statement.

The same day Columbus-based engine manufacturer Cummins stated its opposition to the law, saying the ban would have to be considered when determining future in-state expansion plans.

“For Cummins to be successful it is critical that we have a safe and welcoming workplace, and communities where we embrace our differences and enable all employees to thrive. As we continue to grow our footprint with a focus on selecting communities that align with our values and business goals, this law will be considered in our decision-making process,” the company said in a statement.

The company also said previously expressed their opposition to the law to Indiana lawmakers, and that it would continue to offer reproductive health benefits to employees.

Cummins employs about 60,000 people worldwide.

In July, Bryan Hanson, president, CEO and chairman of Warsaw-based medical manufacturer Zimmer Biomet, told employees via letter, “I don’t believe this is a place or time for individuals in leadership, or leadership teams, to allow their personal beliefs to be imposed on others. This is clearly an extremely personal decision, and should remain that way,” according to published reports.

Hanson also stated the company would provide reimbursement for U.S. team members to travel for reproductive healthcare services if not provided within 100 miles of their homes. The company employees about 20,000 people worldwide.