Watch CBS News

Chief of Chobani

Hamdi Ulukaya built the best-selling yogurt brand in the U.S. after coming here 23 years ago. Today, 70 percent of Chobani employees are American born, 30 percent are immigrants and refugees. Steve Kroft reports.
Feb 5, 2018 (14:06)

TRANSCRIPT FOR: “CHIEF OF CHOBANI”

YOU THIS WAY:
00:05:52

I KIND OF FELT SORRY BECAUSE I DON'T THINK HE KNEW WHAT HE WAS GETTING INTO. I MEAN, I-- YOU FIGURE FOR KRAFT TO SHUT IT DOWN, WHO THE HELL IS THIS GUY, THAT HE'S GOING TO OPEN UP AND-- MAKE IT RIGHT, MAKE IT GOING? >> Kroft: ALMOST ALL OF THE EARLY CHOBANI MEETINGS TOOK PLACE HERE, ALONG WITH SOME SMALL CELEBRATIONS. BETSEY REMEMBERS ONE WHERE HAMDI OFFERED THIS TOAST. >> Betsy Baio: HE SAID, " HERE'S TO WISHING WE COULD EVER MAKE 100, 000 CASES OF YOGURT IN A WEEK AND NOT WORRY ABOUT THE LIGHT BILL ANYMORE ." I SAID TO MY HUSBAND, " I'M GOING TO FEEL SO BAD WHEN HE LOSES HIS SHIRT, 'CAUSE HE'S NEVER GOING TO SELL 100, 000 CASES IN A WEEK ." >> Kroft: ACTUALLY, IT WOULD TAKE ONLY A YEAR. THE FIRST ORDER OF CHOBANI YOGURT, 150 CASES, WAS DELIVERED TO A KOSHER GROCERY STORE ON LONG ISLAND IN OCTOBER OF 2007. NO ONE KNEW IF THERE WOULD BE ANOTHER. >> Ulukaya: THE STORE MANAGER CALLED ME AND SAID, " I DON'T KNOW WHAT YOU'RE PUTTING INTO THESE CUPS. I CANNOT KEEP IT ON SHELF. DON'T TELL ME WHAT YOU'RE PUTTING IN THERE ." AT THAT MOMENT, I KNEW THIS WAS, LIKE, THREE MONTHS IN, THIS WAS NOT GOING TO BE ABOUT IF I COULD SELL IT. IT WAS GOING TO BE ABOUT, CAN I MAKE ENOUGH? >> Kroft: MORE MILK? >> Ulukaya: YEAH. >> Kroft: IT WOULD REQUIRE MORE MACHINES, BIGGER FACILITIES, MORE MILK FROM THE SURROUNDING DAIRY FARMS, AND A LOT MORE PEOPLE. BETWEEN 2008 AND 2012, PRODUCTION OF CHOBANI YOGURT GREW TO AS MUCH AS TWO MILLION CASES A WEEK, REVENUES REACHED A BILLION DOLLARS A YEAR, AND THE NUMBER OF EMPLOYEES SHOT UP TO 600. IT'S NOW ROUGHLY 1, 000. >> Ulukaya: ANYBODY IN THE COMMUNITY WHO WANTED TO WORK FOR THOSE YEARS WOULD FIND A JOB AT CHOBANI. ANYBODY. WE WERE HIRING. AND IF THEY WERE NOT WORKING FOR US, THEY WERE WORKING FOR THE CONTRACTORS THAT WERE DOING JOB FOR US. BECAUSE THE-- MY-- MY NUMBER ONE THING IS, I WAS GOING TO HIRE EVERYONE LOCAL BEFORE I GO OUTSIDE. >> Kroft: HAMDI'S RECRUITING EFFORT INCLUDED A STOP AT A REFUGEE RESETTLEMENT CENTER IN THE CITY OF UTICA, 40 MILES AWAY, WHERE HE HEARD THEY WERE HAVING TROUBLE FINDING PEOPLE WORK. >> Ulukaya: THEY SAID, " WELL, THE LANGUAGE IS A BARRIER. AND TRANSPORTATION ." I SAID, " OKAY, LET'S TRY SOME. I WILL HIRE TRANSLATORS, AND WE'LL PROVIDE TRANSPORTATION. LET THEM COME AND MAKE-- YOGURT WITH US ." >> Kroft: AND THEY WORKED OUT? >> Ulukaya: OH, PERFECTLY. AND THEY ARE THE MOST LOYAL, HARD- WORKING PEOPLE, ALONG WITH EVERYONE ELSE HERE. RIGHT NOW IN OUR PLANT IN HERE, WE HAVE 19 DIFFERENT NATIONALITIES, 16 DIFFERENT TRANSLATORS. >> Kroft: BY 2012, THE CAPACITY OF THE PLANT IN NEW BERLIN HAD MAXED OUT. THEY WERE RUNNING OUT OF PEOPLE, RUNNING OUT OF MILK AND RUNNING OUT OF ROOM. SO, HAMDI DECIDED TO BUILD A SECOND FACILITY-- THE LARGEST YOGURT PLANT IN THE WORLD, IN THE TOWN OF TWIN FALLS, IDAHO, ALL BASED ON A SKETCH HE'D ROUGHED OUT ON A NAPKIN AT FRANK'S PIZZARIA. >> Ulukaya: AND IF YOU LOOK AT THE PLANT AND THE-- AND THE NAPKIN, IT'S BASICALLY THE SIMILAR-- SIMILAR DESIGN. THE PIPING IN THIS PLANT IS-- IF YOU PUT IT TOGETHER-- FROM HERE TO CHICAGO, AND WE BUILT THEM, LESS THAN A YEAR. >> Kroft: THERE WERE SOME INITIAL GROWING PAINS-- A SHIPMENT HAD TO BE RECALLED BECAUSE OF MOLD CONTAMINATION, AND EARLY PRODUCTION DELAYS NECESSITATED AN EMERGENCY LOAN. BUT THE BUSINESS SURVIVED AND HAS THRIVED IN LARGE PART BECAUSE OF HAMDI'S COMPETITIVE NATURE. >> Ulukaya: I LOVE INNOVATION, I LOVE COMPETING. I HATE MY COMPETITORS. >> Kroft: YOU HATE YOUR COMPETITORS? >> Ulukaya: OF COURSE I DO. I WANT TO BEAT THEM UP. >> Kroft: YOU WANT TO MAKE DANNON YOGURT AND YOPLAIT SUFFER? >> Ulukaya: BACK TO-- FRANCE. (\ LAUGHTER \) JUST KIDDING ASIDE. WHAT I MEAN IS, YOU CANNOT BE IN THE WORLD OF BUSINESS-- WHEN YOU DON'T HAVE THIS CONSCIOUSNESS OF WINNING. BUT IN A RIGHT WAY. >> Kroft: TODAY, THE TWIN FALLS PLANT HAS 1, 000 EMPLOYEES, WITH ABOVE- AVERAGE WAGES AND GENEROUS BENEFITS. IT PUMPS MORE THAN $ 2 BILLION A YEAR INTO THE REGIONAL ECONOMY, WHICH IS NOW RUNNING AT CLOSE TO FULL EMPLOYMENT. IT'S ALLOWED HAMDI TO HIRE FELLOW IMMIGRANTS AND REFUGEES, NOT \ INSTEAD \ OF AMERICAN WORKERS, BUT \ ALONGSIDE \ THEM. WE MET TWO OF THEM IN TWIN FALLS, SISTERS, AND AGREED NOT TO USE THEIR NAMES OR DISCLOSE THE MIDDLE EASTERN COUNTRY THEY FLED, BECAUSE THEY FEAR REPRISALS FROM THE HUMAN TRAFFICKERS THAT SEPARATED THEM FROM THEIR FAMILY, THEN ABANDONED THEM AS YOUNG GIRLS ON A STREET CORNER IN EASTERN EUROPE. HOW DID YOU MANAGE TO GET OUT? >> Sister 1: TOOK US A LONG TIME. I PREFER REALLY NOT TO TALK ABOUT IT BECAUSE IT IS REALLY PAINFUL-- >> Sister 2: IT'S PAINFUL, YEAH. >> Kroft: WOULD YOU HAVE SURVIVED IF YOU HAD STAYED THERE? >> Sister 1: NO. >> Kroft: YOU'RE SURE OF THAT? >> Sister 1: YEAH, DEFINITELY. I WAS NOT SITTING HERE ALIVE IF I WAS NOT LEAVING. >> Ulukaya: THEY GOT HERE LEGALLY. THEY'VE GONE THROUGH A MOST DANGEROUS JOURNEY. THEY LOST THEIR FAMILY MEMBERS. THEY LOST EVERYTHING THEY HAVE. AND HERE THEY ARE. THEY ARE EITHER GOING TO BE A PART OF SOCIETY OR THEY ARE GOING TO LOSE IT AGAIN. THE NUMBER ONE THING THAT YOU CAN DO IS PROVIDE THEM JOBS. THE MINUTE THEY GET A JOB, THAT'S THE MINUTE THEY STOP BEING A REFUGEE. >> Kroft: HAMDI ULUKAYA INSISTS HE'S NOT AN ACTIVIST, JUST A BUSINESSMAN. BUT THE FACT THAT HE COMES FROM A MUSLIM COUNTRY, SUPPORTS LEGAL IMMIGRATION AND HELPS REFUGEES HAS NOT BEEN UNIVERSALLY POPULAR IN IDAHO, ONE OF THE MOST CONSERVATIVE STATES IN THE COUNTRY. DURING THE 2016 PRESIDENTIAL ELECTION, CHOBANI WAS ATTACKED BY FAR RIGHT MEDIA, INCLUDING BREITBART, CLAIMING IT HAD BROUGHT REFUGEES, CRIME AND TUBERCULOSIS TO TWIN FALLS-- NONE OF WHICH IS TRUE, BUT BOTH HAMDI AND THE MAYOR OF TWIN FALLS RECEIVED DEATH THREATS. ONE PUBLICATION HAD A HEADLINE THAT SAID, " AMERICAN YOGURT TYCOON VOWS TO CHOKE U. S. WITH MUSLIMS ." >> Ulukaya: YEAH. >> Kroft: PEOPLE TARGETED YOU? >> Ulukaya: YEAH, IT WAS AN EMOTIONAL-- EMOTIONAL TIME. PEOPLE, YOU KNOW, HATE YOU FOR DOING SOMETHING RIGHT. I MEAN, WHAT CAN YOU DO ABOUT THAT? THERE'S NOT MUCH YOU CAN DO. >> Kroft: THE SITUATION HAS COOLED SOMEWHAT, AND HAMDI ENJOYS THE FULL SUPPORT OF IDAHO'S VERY POPULAR AND VERY CONSERVATIVE GOVERNOR, BUTCH OTTER. >> Governor Butch Otter: I THINK HIS CARE ABOUT HIS EMPLOYEES, WHETHER THEY BE REFUGEES, OR THEY BE FOLKS THAT WERE BORN TEN MILES FROM WHERE THEY'RE WORKING. I BELIEVE HIS ADVOCACY FOR THAT PERSON IS NO DIFFERENT. AND THERE'S NOTHING WRONG WITH THAT. >> Kroft: WE TRAVELED WITH ULUKAYA TO EUROPE, WHERE HE HAS MADE THE INTERNATIONAL REFUGEE CRISIS THE FOCAL POINT OF HIS PERSONAL PHILANTHROPY. HE'S DONATED MILLIONS TO HELP SURVIVORS, LIKE THESE IN ITALY-- >> Ulukaya: WHAT'S YOUR NAME? >> Kroft: ... WHO RISKED EVERYTHING FLEEING IRAQ, SYRIA AND AFRICA IN HOPES OF FINDING A BETTER LIFE. HE'S ALSO ENLISTED THE SUPPORT OF MAJOR U. S. CORPORATIONS IN THE CAUSE AND PLEDGED TO GIVE MOST OF HIS FORTUNE TO CHARITY. >> Ulukaya: SHE DIED? >> Refugee: YES. >> Ulukaya: AND THE KIDS DIED TOO? >> Kroft: HAMDI SAYS HE HAD NO IDEA THAT THINGS WOULD TURN OUT THE WAY THEY HAVE, WHEN HE CAME TO AMERICA 24 YEARS AGO AND BOUGHT THAT SHUTTERED YOGURT PLANT IN UPSTATE NEW YORK. HE IS NOW SHOWING HIS GRATITUDE. IN 2016, HE GAVE 10 % OF ALL OF HIS EQUITY IN CHOBANI TO HIS EMPLOYEES. >> Ulukaya: IT'S NOT A GIFT. IT'S NOT A, " OH, LOOK HOW NICE I AM ." IT'S A RECOGNITION. IT'S THE RIGHT THING TO DO. IT IS SOMETHING THAT BELONGS TO THEM THAT I RECOGNIZE. THAT'S HOW I SEE IT. >> Alfonsi: TWO DAYS AFTER OUR STORY FIRST AIRED LAST YEAR, THE FAR RIGHT RADIO HOST ALEX JONES POSTED A FRESH ROUND OF ACCUSATIONS THAT CHOBANI WAS " IMPORTING MIGRANT RAPISTS ." THIS TIME, THE YOGURT COMPANY SUED. LAST MAY, JONES SETTLED THE CASE AND EXPRESSED REGRET FOR THE WAY HE CHARACTERIZED THE EMPLOYEES OF CHOBANI.

Videos
View CBS News In
CBS News App Open
Chrome Safari Continue