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Republicans war on unions marches forward
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<blockquote data-quote="59 Dano" data-source="post: 1066210" data-attributes="member: 23516"><p>You're working from an assumption that were it not for those states, those jobs would be union jobs. It is more likely that a good number of those plants would be built in Mexico were there not RTW alternatives in the United States. Estimates are that the cost of UAW labor adds approximately $2000 to the price of a new domestically assembled car, but no additional value.</p><p></p><p>I still don't know what you're complaining about. The cost of living in most of the south is a steal. The "low paying jobs" that you're complaining about will provide for a very nice standard of living here that rivals (if not exceeds) what you'd get from a union job in the Detroit area.</p><p></p><p></p><p></p><p>Let's educate a dummy. Most of the tax breaks are abatements on property taxes in which the company pays property taxes on the value of the undeveloped property for several years and gradually (or all at once, depending on the agreement) starts paying on the fully developed value of the land. Some agreements provide for paying money for initial worker training.</p><p></p><p>In return, these companies provide plants that cost as much as $1 billion to build. So hundreds of construction workers build the plant and earn money that they use to buy things and pay taxes. Then the plant opens and employs a couple thousand people who earn money that they use to buy things and pay taxes. Most of us can do math and realize that the tax abatements cost the government little if anything. We can also figure out that outlays providing for some worker training can be recouped in a relatively short period of time. There may be some infrastructure improvements, but those costs can also be recouped relatively quickly. Everything beyond that is gravy. </p><p></p><p>A plant that employs 2000 and pays an average wage of $15/hour will have an annual payroll of over $60,000,000/year. I can imagine you in a position of leadership saying that you don't want to pay a pittance for an extra $60 million in economic activity in your town. And that doesn't include the satellite economic activity generated by that plant.</p><p></p><p></p><p></p><p>The level playing field that gets you billions in federal money?</p></blockquote><p></p>
[QUOTE="59 Dano, post: 1066210, member: 23516"] You're working from an assumption that were it not for those states, those jobs would be union jobs. It is more likely that a good number of those plants would be built in Mexico were there not RTW alternatives in the United States. Estimates are that the cost of UAW labor adds approximately $2000 to the price of a new domestically assembled car, but no additional value. I still don't know what you're complaining about. The cost of living in most of the south is a steal. The "low paying jobs" that you're complaining about will provide for a very nice standard of living here that rivals (if not exceeds) what you'd get from a union job in the Detroit area. Let's educate a dummy. Most of the tax breaks are abatements on property taxes in which the company pays property taxes on the value of the undeveloped property for several years and gradually (or all at once, depending on the agreement) starts paying on the fully developed value of the land. Some agreements provide for paying money for initial worker training. In return, these companies provide plants that cost as much as $1 billion to build. So hundreds of construction workers build the plant and earn money that they use to buy things and pay taxes. Then the plant opens and employs a couple thousand people who earn money that they use to buy things and pay taxes. Most of us can do math and realize that the tax abatements cost the government little if anything. We can also figure out that outlays providing for some worker training can be recouped in a relatively short period of time. There may be some infrastructure improvements, but those costs can also be recouped relatively quickly. Everything beyond that is gravy. A plant that employs 2000 and pays an average wage of $15/hour will have an annual payroll of over $60,000,000/year. I can imagine you in a position of leadership saying that you don't want to pay a pittance for an extra $60 million in economic activity in your town. And that doesn't include the satellite economic activity generated by that plant. The level playing field that gets you billions in federal money? [/QUOTE]
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