Cat moving headquarters from Peoria to Chicago

Caterpillar Inc. will locate a limited group of senior executives and support functions in the Chicago area later this year.

According to the company, the Chicago location will improve access to global customers, dealers and Cat’s worldwide operations while enhancing executive recruitment.

“Caterpillar’s board of directors has been discussing the benefits of a more accessible, strategic location for some time,” says Jim Umpleby, Cat CEO. “Since 2012, about two-thirds of Caterpillar’s sales and revenues have come from outside the United States. Locating our headquarters closer to a global transportation hub, such as Chicago, means we can meet with our global customers, dealers and employees more easily and frequently.”

The majority of Cat employees will remain in Peoria, Illinois, the company adds.

“We value our deep roots in central Illinois, and Peoria will continue to be our hometown,” Umpleby says.

As part of the Chicago announcement, Cat unveiled that it will not build the previously announced headquarters complex in Peoria. The current headquarters building will continue to be used for Cat offices.

“As mayor, I never want jobs moving out of the city,” says Jim Ardis, mayor of Peoria. “However, the overwhelming majority of Caterpillar employees and their families based in the Peoria area won’t be impacted by this decision. I’m pleased Caterpillar continues to call Peoria its hometown.”

According to Cat, a limited number of senior executives will move into leased office space beginning this year. Once the new location is fully operational, Cat expects about 300 employees to be based there, including some positions relocated from the Peoria area.