Modern News

One of Chicago’s top five trade shows may be leaving the gigantic McCormick Place Convention Center and taking up business with Orlando, Florida. Why? Because the extremely high costs forced on Chicago by the various unions that have a hammer lock on the service side of the trade show business are driving trade shows to other states.

Crain’s Business reports that the Society of the Plastics Industry, Inc. is considering the move to sunny Florida as a cost cutting measure. The show has been held in Chicago since 1971 but organizers are considering the move because of a “need to maximize the return on investment for both exhibitors and attendees.”

That means that setting up a trade show in Chicago is not worth the expense. And that expense means union fees.

According to Crain’s last year’s show “generated $95.3 million in direct spending, which includes transportation, lodging and entertainment.”

According to the SPI spokesman, Orlando’s is an attractive offer. “There would be substantial savings in holding the show in Orlando,” he said.

Crain’s also quotes Bill Carteaux, president and CEO of the Washington-based trade group, which organizes NPE.

Mr. Carteaux had said in July that SPI was considering whether to hold the next NPE somewhere other than Chicago’s McCormick Place. Some exhibitors complained about the cost of exhibiting at the 2009 show — a problem that has come up before, but was exacerbated by the recession.

So why is Orlando so attractive, why were exhibitors so upset in the past, how could Chicago lose a show it has had a lock on since the 1970s? Union ripoffs is the answer to that one.

For everything an exhibitor does at McCormick Place there is another union to deal with. There are carpenters, electricians, plumbers, comtech services, millwrights, cleaning crews, moving crews, riggers, projectionists, stagehands, teamsters and decorators. You can’t even change a lightbulb in your booth without a union guy conducting a citizen’s arrest. And all of these cost, cost, cost at prevailing union wages.

One commenter at the Crain’s site claimed that he set up a booth at McCormick Place and it cost him “$400 for a chair, a piece of carpet and a table.” Another commenter reminded everyone that it isn’t just the costs of McCormick Place, either. The City of Chicago in one of the most highly taxed cities in the highest taxed counties in the country. So expenses for hotels, restaurants and transportation is also higher in Chicago than elsewhere.

Will Chicago get the message? Only when the other top four leave along with the plastics folks.