Politics & Government

Planned Closure Of IRS Processing Center In South Austin Will Result In 2,400 Lost Jobs

The closure slated for 2024 is part of a national downsizing trend as more taxpayers file their returns electronically.

SOUTH AUSTIN, TX -- A processing center run by the Internal Revenue Service is scheduled to be shuttered within ten years, which will leave some 2,400 people out of a job.

Officials with the union representing Treasury Department workers disclosed the ramifications of the closure, sharing the details with the Austin American-Statesman. The Southeast Austin facility processes tax returns, and is scheduled to close in 2024, IRS officials confirmed.

The site is one of several offices -- including those in Covington, Ky. and Fresno, Calif. -- that will close given the rise of taxpayers filing their taxes electronically, officials said. Eighty-five percent of all returns were filed electronically last year, up from 58 percent in 2008, the newspaper reported.

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“This is distressing news for our members, many of whom have been loyal IRS employees for years,” National Treasury Employees Union President Tony Reardon said in a written statement published by the Statesman. “NTEU will aggressively pursue all available measures to avoid or mitigate the impact of these closings on affected employees in these three locations. Their well-being is our top priority. We want to make sure our members are treated fairly and that all steps are taken to avoid actions that may harm them.”

Nationwide closures follow previous ones in 2003, when 10 centers were merged into five, according to the IRS said. By the time the IRS processing center in Austin shuts down in 2024, there will be just two processing centers left: one each in Kansas City, Mo., and Ogden, Utah, the Statesman noted.

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Union representatives complain they weren't consulted by the IRS before making the decision to close the local facility.

“We need a great deal more information to evaluate this plan and its potential impact on employees, taxpayers and these communities,” Reardon said, quoted in the newspaper. “The IRS did not consult with NTEU before making this decision.”

The submission processing center is located at 3651 S. Interstate 35, its 456,000-square-foot expanse also visible from Woodward Street. From that artery, the heavily gated facility with security guard checking entries hints at the site's status as a government facility.

>>> Read the full story at Austin American-Statesman

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