Farmers plans to add 1,600 new jobs

[egrguy]

Farmers plans to add 1,600 new jobs.

Wow, this is a pretty huge jobs announcement. Based on Granholm planning on being around for the official announcement I am assuming that tomorrow's MEGA vote is a formality and that the decision has already been made for approving tax credits.

Including Davenport's expansion right across the street, that area will be seeing extended activity.

I wonder if the planned hotel there by M6 and Beltine will receive renewed interest.

[joeDowntown]

Fantastic news. West Michigan prevails.

Joe

Farmers plans to add 1,600 new jobs.

Wow, this is a pretty huge jobs announcement. Based on Granholm planning on being around for the official announcement I am assuming that tomorrow's MEGA vote is a formality and that the decision has already been made for approving tax credits.

Including Davenport's expansion right across the street, that area will be seeing extended activity.

I wonder if the planned hotel there by M6 and Beltine will receive renewed interest.

[GRDadof3]

This is a HUGE deal. If all the jobs add up as planned, Farmers will have almost 3000 workers!

[GRDadof3]

Scratch that. Make that 4500 jobs for West Michigan:

http://www.woodtv.com/dpp/news/economy/Far...d_1600_new_jobs

[wazootyman]

Not to kill anyone's buzz (this is great news, don't get me wrong), but that's 1,600 jobs over 17 years...or about 94 per year. How anyone can speculate on their staffing needs 17 years from now is beyond me. Hell, these days how many of us can guarantee whether we'll be employed a month from now?

I know there have been some people questioning the effectiveness of MEGA tax credits...but it does kind of make you wonder what the net effect of higher taxes + specialized incentives is versus an across-the-board tax reduction. These announcements don't necessarily meet their promises...but they sure do make for good headlines.

Michigan has bled an incredible number of manufacturing jobs in the last 10 years (not all necessarily related to tax policy, obviously). It would take a lot of relatively small tax credits to make up for that loss.

[GRDadof3]

Not to kill anyone's buzz (this is great news, don't get me wrong), but that's 1,600 jobs over 17 years...or about 94 per year. How anyone can speculate on their staffing needs 17 years from now is beyond me. Hell, these days how many of us can guarantee whether we'll be employed a month from now?

I know there have been some people questioning the effectiveness of MEGA tax credits...but it does kind of make you wonder what the net effect of higher taxes + specialized incentives is versus an across-the-board tax reduction. These announcements don't necessarily meet their promises...but they sure do make for good headlines.

Michigan has bled an incredible number of manufacturing jobs in the last 10 years (not all necessarily related to tax policy, obviously). It would take a lot of relatively small tax credits to make up for that loss.

[egrguy]

Is the 1600 jobs purely Farmers positions? If so, you have the addition of adding 275,000 sf ft of building creation; a nice boon to the area's construction work force as well.

I agree w/ grdad's statement of what news do people want to hear? You can't add thousands of jobs overnight; its a process to build the infrastructure needed, time to hire and train the additional staff.

4,500 jobs is nothing to sneeze at even if happening over several years. I think the most important impact is that these companies are all staying put and adding staff.

The opposite could be what is happening in Dayton, OH with ATM manufactorer NCR who has been a Dayton institution for decades is picking up shop and moving their HQ to Georgia.

[GRDadof3]

Is the 1600 jobs purely Farmers positions? If so, you have the addition of adding 275,000 sf ft of building creation; a nice boon to the area's construction work force as well.

I agree w/ grdad's statement of what news do people want to hear? You can't add thousands of jobs overnight; its a process to build the infrastructure needed, time to hire and train the additional staff.

4,500 jobs is nothing to sneeze at even if happening over several years. I think the most important impact is that these companies are all staying put and adding staff.

The opposite could be what is happening in Dayton, OH with ATM manufactorer NCR who has been a Dayton institution for decades is picking up shop and moving their HQ to Georgia.

[crinzema]

A printing press does not make jobs!

[suydam]

A printing press does not make jobs!

[GRDadof3]

I can't believe some of the comments on MLive and other sites about these announcements. This to me looks like jobs. Although the design is like nails on a chalkboard suburban, 275,000 sf has gotta hold at least a few people.

[Ted]

I can't believe some of the comments on MLive and other sites about these announcements. This to me looks like jobs. Although the design is like nails on a chalkboard suburban, 275,000 sf has gotta hold at least a few people.

[crinzema]

When the government matches private investments by over 360%, you know something is downright corrupt. I don't care how much pride I have in my community, I'm moving out of the state if my taxes are redistributed upward. How many real jobs did it take to support this? And under an economy where companies can't even support their own weight. And a state that can't support itself. And by the way, the debt where in already. What doesn't make sense in your own personal finance, ALSO doesn't make sense with the government.

[GRDadof3]

When the government matches private investments by over 360%, you know something is downright corrupt. I don't care how much pride I have in my community, I'm moving out of the state if my taxes are redistributed upward. How many real jobs did it take to support this? And under an economy where companies can't even support their own weight. And a state that can't support itself. And by the way, the debt where in already. What doesn't make sense in your own personal finance, ALSO doesn't make sense with the government.

[crinzema]

How are they matching the private investment by 360%? Can you show your math? Thanks.

[Rizzo]

"Economic Growth Authority approved $114 million in tax credits, making the $145 million investments possible."

If 145 million of investments can only be made possible if 114 million in tax incentives are made available, then really only the difference is real private capital. If i can only spend $3 if you give me $2, then I came with $1 to the table. Same principle applies here. In this case, only $31,000,000 was brought to the table by private entities while the government forked over $114,000,000. That divided by 31,000,000 multiplied by 100 gives you the % the government is spending compared to private investors. I don't know about you, but the word incentive does not mean, paying for 78.5% of the investment. I'm against all wealth redistribution, but I can't see how upward wealth redistribution can be seen as a good thing! In an economy like this, if any headline has the word jobs, and is not followed by loss, it is seen as a good thing, no questions asked.

[GRDadof3]

"Economic Growth Authority approved $114 million in tax credits, making the $145 million investments possible."

If 145 million of investments can only be made possible if 114 million in tax incentives are made available, then really only the difference is real private capital. If i can only spend $3 if you give me $2, then I came with $1 to the table. Same principle applies here. In this case, only $31,000,000 was brought to the table by private entities while the government forked over $114,000,000. That divided by 31,000,000 multiplied by 100 gives you the % the government is spending compared to private investors. I don't know about you, but the word incentive does not mean, paying for 78.5% of the investment. I'm against all wealth redistribution, but I can't see how upward wealth redistribution can be seen as a good thing! In an economy like this, if any headline has the word jobs, and is not followed by loss, it is seen as a good thing, no questions asked.

[crinzema]

Then where do you draw the line if unlimited spending always makes a return? When did government become investors? How is this fair to 99% of other businesses? Who ultimately payed for this and who ultimately cashed in? Would you favor a child as much as the government favors a particular business? If tax money creates jobs, then perpetual motion should work.

[Ted]

Then where do you draw the line if unlimited spending always makes a return? When did government become investors? How is this fair to 99% of other businesses? Who ultimately payed for this and who ultimately cashed in? Would you favor a child as much as the government favors a particular business? If tax money creates jobs, then perpetual motion should work.

[fotoman311]

I can't believe some of the comments on MLive and other sites about these announcements. This to me looks like jobs. Although the design is like nails on a chalkboard suburban, 275,000 sf has gotta hold at least a few people.

[GRDadof3]

Then where do you draw the line if unlimited spending always makes a return? When did government become investors? How is this fair to 99% of other businesses? Who ultimately payed for this and who ultimately cashed in? Would you favor a child as much as the government favors a particular business? If tax money creates jobs, then perpetual motion should work.

[crinzema]

Sorry. I have three kids. None of them get treated equally.

Tax breaks for business expansions/relocations is the world we live in. Welcome to globalization. If Michigan puts an end to it, 20 other states are ready to watch us go down in flames (no joke). Would I prefer that Michigan become more business friendly (tax wise) across the board? Sure, let's do it.

[GRDadof3]

Looks like they are adding another 100,000 sf to this project:

http://www.mlive.com/business/west-michiga...eings_work.html

[grrwymg]

Farmers has their newest mobile customer claim center (read: bus) @ my workplace today in celebration of the groundbreaking. Quite the spiffy vehicle.

[Soma]

Sorry but I am underwhelmed about this news. Another call center, whoopee for those $10/hour jobs selling insurance to unemployed Michiganians. Now Farmers also owns Foremost Insurance I wonder if they will put the two under the same roof?

Speaking of tax breaks, did Priceline ever get up and running with their 5 million tax break call center?