Westervelt Co. to build Clarke County lumber mill, create 125 jobs
More than 125 new jobs will be coming to Clarke County as the The Westervelt Company will soon be breaking ground on a new lumber mill in Thomasville, Ala. the company announced on Tuesday. It will be the second sawmill for the 134-year old company based in Tuscaloosa. The company is expanding its wood products manufacturing business through the construction of a new facility that will produce Southern yellow pine lumber. The Thomasville Mill will join the company’s existing facility in Moundville, which has been operating since 1997. “The Westervelt Company has long played a prominent role in Alabama’s booming lumber industry and has done so while promoting good environmental stewardship,” Governor Kay Ivey said. “I’m very excited to see that Westervelt is thriving and that they are building their second mill in rural Clarke County. This manufacturing facility is going to have a major impact on this area and give dozens of people a chance to earn a living from a trusted company.” “This new mill represents our commitment to the State of Alabama and to the region,” said Westervelt President and CEO Brian Luoma. “South Alabama was always our preferred location, and the local community offers the workforce and resources that will support our long-term strategy for this facility. We are grateful for the support of Governor Ivey, Chairman Rush and Mayor Day, and we look forward to being a part of this community.” “The Westervelt Co.’s deep roots in Alabama date back for generations, and I’m pleased to see this family business continue to invest and grow in the state,” added Greg Canfield, secretary of the Alabama Department of Commerce. “The company’s new lumber production facility in Clarke County represents an important job-creating project for a rural area, and it will provide a boost for the forest products industry throughout the region.” The facility will produce approximately 250 million board feet of lumber annually and create 125 new jobs. The expansion will take advantage of the proximity of the company’s timberland and other facilities, as well as workforce and existing customer bases. “The City of Thomasville has been honored to be a partner with the Clarke County Commission, the State of Alabama and many others as we worked shoulder to shoulder to attract The Westervelt Company to rural southwest Alabama,” said Thomasville Mayor Sheldon Day. “This project will have a tremendous impact on our community and our rural region.” Construction is expected to begin mid-2019, with operations beginning in late 2020.
Auto supplier Hwashin to add 50 jobs with $26M Alabama expansion
Auto supplier Hwashin America Corp. announced plans to expand its Butler County manufacturing operation with a $26 million investment in new equipment and 50 new jobs. Hwashin, which produces body components for Hyundai’s Alabama auto assembly plant, has been in expansion mode since arriving in Greenville in 2003. The operation began with a 150,000-square-foot facility and 200 workers. Today, the company’s 650,000-square-foot plant is staffed with more than 750 workers. “Companies have a choice regarding where they locate and expand. We appreciate the confidence Hwashin has shown in Greenville and Butler County since 2003,” said David Crenshaw, chairman of the Butler County Commission for Economic Development (BCCED). To facilitate the company’s latest expansion, the Greenville City Council granted statutory tax abatements at a Nov. 5 meeting. The expansion is projected to boost payroll by $1 million and increase property tax revenue to the Butler County School System by more than $500,000 over 10 years. “We are excited about the new jobs and investment Hwashin has committed to Greenville,” said Mayor Dexter McLendon. “Great things happen when city and county governments work together toward a common goal.” Hwashin America is investing $26 million in an expansion at its Greenville auto parts plant, creating 50 jobs. (Hwashin) Growth story After repeated investments in its Greenville manufacturing operation, Hwashin has become Butler County’s largest industrial employer. Data from the Alabama Department of Commerce show that the company has invested more than $200 million in the facility. BCCED Executive Director David Hutchison said his agency and Butler County officials work hard to support the area’s existing industry. “Announcements like this are the return on investment of our efforts,” Hutchison said. Hwashin’s latest expansion comes amid a sharp growth spurt for Alabama’s auto industry, which includes a wide-ranging network of suppliers across the state. Hyundai Motor Manufacturing Alabama is also growing, after announcing a $388 million expansion project at its Montgomery assembly plant. Butler County Commission Chairman Darrell Sanders welcomed Hwashin’s expansion. “We are delighted that Hwashin, by announcing their expansion plans, will continue to create jobs and wages that will in turn add new income to the Butler County Schools,” Sanders said. This story originally appeared on the Alabama Department of Commerce’s Made in Alabama website. Republished with permission from the Alabama NewsCenter.
JeffMet Park expansion to add thousands of jobs, officials predict
The Jefferson County Commission voted last week to rezone land in the existing Jefferson Metropolitan Park in McCalla that could bring thousands of additional jobs to the Birmingham metro area and have a substantial impact on economic development in the region. The commission unanimously approved rezoning of about 410 acres to industrial from agriculture on property purchased by the Jefferson County Economic and Industrial Development Authority (JCEIDA). The rezoning includes another 230 acres that will be acquired by the JCEIDA by the end of the month. The authority began buying the land in July. “Based on projects in the queue, I would project another 5,000 citizens will be employed at the park in the future,” said Commissioner David Carrington, chair of the county’s Finance, Information Technology and Business Development committee. “Whenever I look at a parcel of developable property, I don’t see land; I see jobs.” Ted vonCannon, executive director of JCEIDA, echoed what the park has meant to the workforce in Jefferson County. “Those are jobs that are not going to Georgia or some of our sister communities,” he said. “At one end (of the park) we have Publix and at the other end we have Home Depot. We have Gestamp, which is the largest employer in the park (that) will have probably have over 900 jobs when they finish up – and that’s just one company.” The commission voted to rezone three parcels of property in the park which is home to 13 companies: seven domestic and six international. Those companies range from Publix and Home Depot to Plastipak, which makes bottles for water and Gestamp, which makes parts for automobile manufacturers. “Expansion is key to attracting more companies with good paying jobs for our citizens,” said Commissioner Joe Knight. “Jefferson County has limited suitable land for companies needing large tract areas for expansion and construction … rezoning of the land allows us to proceed with the expansion of our park as it is important to invest now for future growth.” Currently, more than 3,000 people work at the JeffMet Park “and the annual payroll is more than $100 million,” said Carrington. The location of the existing park, which opened in 2000 with about 720 acres that could be developed, is a vital part of growth in the county, he said. “Next to available land, transportation network availability is very important to many manufacturing projects,” he said. “The park is adjacent to the Norfolk Southern’s Intermodal Facility with three miles of rail access available and it’s within a half mile of I-20/59. “Based on the successes of the last few years and the active prospects in the queue, it became obvious that the county needed to acquire more land in order to recruit more jobs,” he continued. “Only 140 acres remain for development: three industrial sites totaling 110 acres and one 30-acre commercial site.” Carrington reiterated the economic development impact for the county and the entire state. “While we celebrate new projects in all areas of the state, economic development in our region clearly has the largest impact on the health of the state’s overall economy,” he said. “The Birmingham metro area, anchored by Jefferson County, is Alabama’s primary economic engine, representing more GDP (Gross Domestic Product) than Mobile, Montgomery and Huntsville combined.” Knight added that the park is state of the art, well maintained and “offers $9.7 million in property taxes alone, which helps to fund our government without raising taxes.” “All in all, we are excited about the future of this park and excited about the future of Jefferson County,” he said. Republished with permission from the Alabama NewsCenter.
MTC Logistics to open $58 million distribution facility at Alabama port
Baltimore, Maryland-based MTC Logistics announced plans to build a $58 million cold storage facility on property owned by the Alabama State Port Authority, creating between 50 and 70 jobs and providing a boost to the port’s container operations. Company officials said the 300,000-square-foot facility will be five stories tall and will contain almost 12 million cubic feet of refrigerated space, enabling it to store 40,000 pallets of product. All of the product will transit in on containers and will be processed through APM Terminals before or after arriving at MTC Logistics. The MTC facility will be situated on land between APM Terminals and Mobile Aeroplex at Brookley near downtown Mobile. The Alabama State Port Authority announced the sale of the property to MTC. “We have been in the temperature-controlled logistics business for 90 years and are thrilled Mobile will be a part of our future,” said Brooks Royster, president of MTC Logistics. “Being able to find property immediately adjacent to a world-class port such as Mobile and in such close proximity to I-10 is a very unique opportunity.” “MTC Logistics’ new cold storage distribution facility will be a great addition to the growing operations at the Port of Mobile,” said Greg Canfield, secretary of the Alabama Department of Commerce. “This family company is making a significant investment in Alabama and creating good-paying jobs in Mobile.” The Port of Mobile handled nearly 29 million tons of goods and 320,000 shipping containers in 2017. (Alabama State Port Authority) Expanding cluster David Rodgers, vice president of economic development for the Mobile Area Chamber of Commerce, said MTC Logistics’ facility will be able to blast freeze poultry product coming from across the Southeast for export across the globe. This project will enhance Mobile’s containerized operations to reach more markets throughout the world. Shipping containers are a big part of the Alabama State Port Authority import and export business. (Mike Kittrell/Alabama NewsCenter) “This is a great project for us as Mobile continues to grow its warehousing and transportation industry cluster,” Rodgers said. “It grows the Port of Alabama and increases capacity at APM Terminals. Mobile’s infrastructure assets are second to none, and growing our economy is our top priority.” A groundbreaking is expected by December, with an estimated opening date in the second quarter of 2020. Company officials expect an 18-month construction project. “We’re extremely pleased to see this world-class services company invest in both our region and our port. MTC’s investment will create new jobs and add new products to the port’s container intermodal operations,” said James K. Lyons, director and CEO of the Alabama State Port Authority. Partners in this project include the Alabama State Port Authority, APM Terminals, the City of Mobile, Mobile Area Chamber of Commerce, Mobile County and the state of Alabama. Mobile County Commission President Connie Hudson said the county government is committed to providing roadwork needed to facilitate trucking to and from the MTC site. “We are pleased and proud to welcome MTC Logistics to Mobile,” Mayor Sandy Stimpson said. “We are out there every day looking for opportunities to recruit jobs and families to Mobile. This announcement is the latest proof that Mobile is open for business.” This story originally appeared on the Alabama Department of Commerce’s Made in Alabama website. Republished with permission from the Alabama NewsCenter.
Rauf Bolden: Competing for employees in Orange Beach
The balance between available jobs and job openings keeps the economy rolling. Having more jobs than people to fill them is a problem, creating issues with employee retention, but there is a fix. Businesses are moving to Orange Beach, providing jobs, but finding employees to work is a struggle. Orange Beach’s Comprehensive Plan of 2006 had the resident population at 5330, compared to 5850 in 2015, according to the US Census Bureau. The data indicates that the thriving tourist economy is driving business growth, but growth of the resident population has stagnated. Businesses must recruit employees from north of the bridge, requiring workers to pay the toll, incurring an additional cost of $875 per year, just to take the job. Demographics in Orange Beach may give us a hint at why we have a shortage of resident workers. The median household income for Orange Beach in 2014 dollars was $57,750, and the per capita income in 2014 dollars was $35,908, according to Quick Facts at the US Census Bureau. Perhaps it is just too expensive for the average-wage earner in Baldwin County to live and work in Orange Beach. Creating competition between employers, seeking employees who will put up with the commute, and paying the toll. Balancing work, wages, commute, benefits and family is the primary focus of all Mayors, according to the National League of Cities web site. Underlining our previous demographics are 2016 home prices, averaging $512,536 in Orange Beach versus $238,891 in Baldwin County, according to Andrew Hart of Gulf Shores Re/Max in an email, making it difficult for employees to afford housing on the island. Across the bridge a couple of large developments are opening, including a 90,000 square foot Event Center in Foley, and the OWA Amusement Park Complex, spanning 500 acres with rides, restaurants, a hotel and amenities. Several hundred employees man these facilities, draining talent from the pool that previously fed Orange Beach. Businesses are locating to Orange Beach. On the other hand you have a shortage of labor, putting supply and demand pressure on wages and benefits, especially in the hospitality sector. Accepting the fact that real estate prices will continue to rise on the island, developing a plan to retain the employees who live off island is important, incentivizing a way for them to stay employed and not migrate north of the bridge to jobs located closer to their homes. The biggest obstacle to planning employee retention is managerial awareness that a retention problem exists. According to SHRM (Society for Human Resource Management), new-employee training costs 16 percent of annual salary for low-paying jobs, 20 percent for mid-range, and 213 percent for Executive or Director positions. Losing talent costs money. Grants can indirectly subsidize employee retention, because the Grant winners will need to buy goods and services from local businesses. The following BP Grants ($63 Million) were Awarded for the Environment in 2016, according to The Alabama Department of Environmental Management website. Fisheries and ecosystem monitoring in marine waters and the Gulf of Mexico: about $4.4 million; Bon Secour-Oyster Bay wetland acquisition: about $12.5 million; Dauphin Island conservation acquisition: about $3.5 million; Lightning Point acquisition and restoration, Phase I: about $6 million; Fowl River watershed restoration, coastal splits and wetlands project, Phase I: about $1 million; Gulf Highlands (Gulf Shores) Conservation Acquisition – approximately $36 million. When the government injects millions into the local economy it creates jobs, the people supplying goods and services to these projects will benefit. What if the business owner has trouble finding enough people to work? He or she will have to raise wages and benefits to attract suitable candidates, lowering margins, putting the business at risk of not being able to fulfill their obligations. The reality of a reduced labor pool is something all managers in Orange Beach must plan for. Employee retention is a key objective in planning for future growth. Let’s look at the cost of losing an employee from another angle, factoring in what it costs to train their replacement. “These include the costs of both the supervisor and employee’s time during on-the-job training; instruction materials, equipment and time for formal training; and the cost of a mentor’s time, if a mentoring system is in place,” said Tess C. Taylor author of The Cost of Training New Employees for the Automatic Data Processing web site. Some espouse I can get anyone to do that job. That thinking dismisses the cost of training, mentoring, and shadowing a fellow employee, as well as today’s low-unemployment rate. During the past decade unemployment rates stressed job opportunities, the time of boom-to-bust from 2000 to 2010 along the Alabama Gulf Coast is an example. Putting unemployment at four percent in 2000, 6 percent in 2002, 5 percent in 2004, 4 percent in 2006, 6 percent in 2008, 10 percent in 2010, understanding we had Hurricane Ivan in 2005, a property bubble in 2006, a recession from 2007-2009, and an oil spill in 2010, according to John Coughlan of the Monthly Labor Review. In April 2017, the unemployment rate in Baldwin County was a low 3.9 percent, according to Economic Research from the Federal Reserve in St. Louis, making suitable hires harder to find, making it easier for prospective hires to be selective, finding work closer to home. Employers competing for good people have gone digital, quietly hustling recruits through email blasts. The complexity sets in, realizing there are more jobs in Orange Beach than there are people to do a good job. Simply replacing employees is costly for the bottom line, calculated as a percentage of yearly salary, according to the Center for American Progress web site. Research gives us data and the data indicates that retaining employees, in the present fiscal climate through salary and benefit adjustments is in the best interest of your business, municipality, or school. That is the fix. ••• Rauf Bolden is retired IT Director at the City of Orange Beach, working as an IT & Web Consultant on the Beach Road.
U.S. jobs report beats expectations, added 201,000 jobs in August
On Friday, the Bureau of Labor Statistics released the national August jobs report, which found the U.S. economy added 201,000 jobs, while the unemployment rate stayed at 3.9 percent. The numbers reveal that the labor market continued to defy worker shortages and trade battles. All in all, the economy has added 1.2 million new, non-farm, payroll jobs over the past 12 months. During which time unemployment rates for all major races and ethnicities dramatically improved (August 2017 to August 2018). Alabama 5th District U.S. Rep. Mo Brooks said the improved numbers are thanks to President Donald Trump and the work of Congress. “Congress and President Trump have worked hard and taken substantial political risks to jump start America’s economy. The tax cuts for American families and job creators, the reduction of Obama-era regulatory burdens, the preference for free enterprise principles over socialism, and the cuts in costly economic dictates by federal bureaucrats in their cubicles and windowless D.C. offices are all paying off,” explained Brooks. Brooks continued, “After a decade of anemic sub-3 percent economic growth, the American economy sizzled at a 4.2 percent growth rate in the 2nd quarter of 2018 and appears to be surging again in the 3rd quarter! American families and workers are enjoying a double whammy of good news: plentiful jobs and bigger paychecks brought about by the double dose of higher wages and lower taxes.” August’s jobs report also revealed the average hourly earnings for all non-farm American workers increased by 10 cents in August and 77 cents (2.9 percent) over the past year. “A 2.9 percent boost in average income over one year is fantastic!,” said Brooks. Brooks however pointed to America’s border problems with illegal immigration as the reason behind the one negative aspect of the new report. “The one big negative in the August report is that the average hourly earnings of ‘production and nonsupervisory employees’ (those most impacted by the surge in illegal alien labor caused by porous borders) increased at a 15 cents per hour slower pace (at 62 cents per hour) than the average for all American workers (77 cents per hour),” added Brooks. “I ask American voters to ponder how much higher their incomes would be if there was no competition from lower wage, and often illegal, foreign labor.”
Coca-Cola calls on Tuscaloosa young adults to submit change-making ideas for $30k grant
The jobs of the future require more education and skills than ever before. Less than half of the people of Alabama who don’t have a college degree have a “good job” that allows them to support themselves and their families. Why is why Birmingham-based Coca-Cola Bottling Company United has launched a new challenge in Tuscaloosa, Ala. that invites young adults to compete for a grant which will provide funding and resources to support a local community programs. The initiative, “Dear Future Tuscaloosa,” is a part of the national “Dear Future” Challenge, an initiative by The Coca-Cola Company. The ambitious challenge calls on young adults to come up with new, innovative ideas to improve and renew their local communities. Now through through Oct. 15, 18 to 24-year-olds in Tuscaloosa can submit ideas to tackle the community-specific challenge of “What can we do together to help the people of Tuscaloosa prepare for the jobs of the future?” Tuscaloosa is one for 15 cities across the country where young people can apply for one of the $30,000 grants. 17 winners will receive a $30,000 grant to translate vision into action. “‘Dear Future’ is about who we are as a company and who we want to be,” through both the beverages we make and the actions we take,” said Caren Pasquale Seckler, vice president, social commitment, Coca-Cola North America. “As we started telling our story last fall, we felt it would be powerful to go deeper into the communities where we live and work and help inspire ideas to renew and strengthen them. The people who enjoy our brands are our neighbors, so the actions we take together in our hometowns can create shared opportunity.”
Briggs & Stratton to add distribution center in Auburn, create 20 jobs
The Milwaukee-based Briggs & Stratton Corporation announced Friday its decision to consolidate a number of its smaller existing warehouses throughout the U.S. into two large warehouses in Germantown, Wis. and Auburn, Ala.. Both facilities are expected to be operational in spring 2019. The Auburn facility will be a 400,000 square foot distribution center, also for engines and products. This facility positions Briggs & Stratton’s inventory in the optimal location to best supply its customers with shorter delivery times in this region of the U.S. The City of Auburn, the Industrial Development Board of the City of Auburn (IDB) and the State of Alabama plan to support the project with available incentives. This will create approximately 20 new jobs in the City of Auburn. “By consolidating our current footprint into two large distribution centers, we’re increasing efficiencies to more effectively serve our customers,” states Bill Harlow, director of global distribution and warehousing at Briggs & Stratton. “The locations in Germantown and Auburn will provide a North American enterprise distribution footprint that supports our strategy and customers with optimal inventory and order delivery while managing space and capital investment.” “This decision aligns with our commitment to invest in being a partner of choice and easy to do business with,” added Dave Rodgers, senior vice president and president – engines and power at Briggs & Stratton. “We’re already enhancing two of our existing plants in Auburn, Alabama and Statesboro, Georgia to bring production of our commercial Vanguard® V-Twin engines back to the U.S., and we’re continuously investing in our research and development efforts to create products that help make work easier and lives better – it’s an exciting time to be at Briggs & Stratton.”
Good-paying jobs spur growth in Alabama’s Jefferson County
More than 3,500 jobs have been recruited to Jefferson County in the past 12 months and officials expect that number to increase by year’s end. “I expect another 200-job announcement soon and we’re a finalist in another more-than-a-1,000-job project that could be announced later this year,” said Jefferson County Commissioner David Carrington, chair of the Finance, Information Technology and Business Development Committee. In the past 60 days, the county has taken part in three major announcements: Amazon’s $320 million advanced robotics fulfillment center that will employ a minimum of 1,500 full-time employees; DC BLOX’s data center campus that is projected to result in $785 million in capital investment over the next 10 years; and Shipt’s decision to keep its corporate headquarters in Birmingham, adding another 881 employees. That’s in addition to recent announcements by Autocar, Evonik, Grupo Antolin, Iberia Bank, Pack Health and others. “It’s important to note that these projects are spread throughout the county in both unincorporated and incorporated areas: from Birmingham to Hoover and from McCalla to Center Point,” Carrington said. “These are good-paying jobs in diverse industries: from banking to advanced manufacturing and from distribution to technology. Salaries will range from $30,000 to more than $100,000.” Carrington pointed out that Shipt and Pack Health were started in Birmingham and are indicative of a budding technology ecosystem. Commission President Jimmie Stephens said he believes the county, after years of stagnation in some areas, has “turned the corner.” One reason is the collaboration among area leaders. “Teamwork is key to continued success,” he said. “We are stronger when we work together because our combined assets are greater than other competing areas. We just need to continue to communicate with one another and coordinate our actions and success will follow.” He added: “Communication with prospective prospects has been key along with matching vocational education opportunities to specific industry needs. Our workforce is diverse and is capable of meeting the needs of most industry needs. … We must market our area, tout our strengths and continue to demand excellence from our leaders.” The benefits of job growth go beyond the Birmingham metro area. “There is little down-side to more, better-paying jobs,” Carrington said. “They are the key to a healthier, growing community, more opportunities for our young people, fewer crimes, and higher government revenues without raising taxes.” Republished with permission from the Alabama NewsCenter.
Martha Roby: Meeting the demands of our growing workforce
Last month’s jobs report showed that job openings are at a record high, confirming our country’s continued positive economic progress. For the first time since the year 2000, the number of job openings is larger than the number of people unemployed. Our country’s gross domestic product also grew at a 4.1 percent pace in the second quarter of this year, marking the fastest rate of growth since 2014. This is great news for the American people, and our focus moving forward must be to continue this momentum. As I have said many times before, over the last year and a half, our unified Republican government has worked very hard to deliver meaningful results on the economic front. I am proud of our efforts to foster economic growth and opportunity, and I believe it is critical that we provide a well-trained workforce to meet the demands. That’s why I am glad to report that Congress has officially sent the Strengthening Career and Technical Education for the 21st Century Act, an important workforce development bill, to the President’s desk for his signature. This important piece of legislation reauthorizes the Perkins funding that supports career tech programs at the state and local levels. The bill also makes needed improvements to the system to ensure these crucial dollars are spent effectively and efficiently. In addition, this legislation updates the federal investment in career tech education to provide increased flexibility to states to ensure these CTE programs are high quality, engaging, and above all, successful. As you know, our state is fortunate to have a very strong network of community colleges that offer a wide variety of career training. Alabama’s Community College System has more than 79,000 students enrolled in career tech programs, and more than 70 public high schools in our state offer CTE courses. They are working in lockstep with industries to ensure the educational training matches the jobs that will be waiting for these students when they complete their coursework. Our district is home to quite a few excellent career tech programs, including those at Trenholm State Community College in Montgomery, Wallace Community College in Dothan and their Sparks Campus in Eufaula, the Enterprise State Community College campuses in Enterprise and Ozark, Ingram State Technical College in Deatsville, Reid State Technical College in Evergreen, and the Lurleen B. Wallace Community College campuses in Andalusia, Opp, and Greenville. To broaden this extensive network even more, many high schools enjoy partnerships with nearby community colleges to offer students courses closer to home. Over the years, I have had the opportunity to visit many of these campuses and see firsthand the quality training they offer. Most recently, I stopped by Lurleen B. Wallace’s MacArthur Campus in Opp for a tour, and I was truly blown away by the wide variety of courses available. There’s no question that in Alabama, our current CTE system is working well, but that shouldn’t stop us from making every effort to improve it. The Strengthening Career and Technical Education Act for the 21st Century, which I hope will soon be signed into law, provides proper investment in quality career tech programs – but this is about so much more than just funding. This important bill provides greater flexibility to states and program administrators on the ground so they are able to adjust to ever-changing needs. The bill also improves accountability to require CTE programs to deliver results. Career tech programs are so important because they meet the demands of our steadily changing workforce by equipping students with the skills, knowledge, and experience they need to be competitive and fill these roles. Rest assured as your Representative in Congress, I will always support measures to improve and strengthen the CTE programs throughout our state and nation. And as always, I am hopeful that we will continue to see increased numbers of job openings and opportunities for all Alabamians and all Americans. ••• Martha Roby represents Alabama’s Second Congressional District. She lives in Montgomery, Alabama, with her husband Riley and their two children.
Donald Trump’s tariffs threaten 567,500 jobs, $3.6B in Alabama exports says U.S. Chamber
In a campaign opposing President Donald Trump‘s trade tariffs, the U.S. Chamber of Commerce on Monday released a report revealing more than $3.6 billion in Alabama exports are threatened by the President’s new tariffs. The Trump administration has targeted China, Canada, Mexico and European Union nations with large tariffs on imports, such as a 10 percent charge on imported aluminum and a 25 percent charge on steel, arguing their necessity to protect national security and to promote more domestic production. But the Chamber says the tariffs threaten to spark a global trade war as Canada, Mexico, the EU, and China have already retaliated or announced plans to retaliate with billions of dollars in tariffs on American-made products. “Tariffs imposed by the United States are nothing more than a tax increase on American consumers and businesses, including manufacturers, farmers, and technology companies, who will all pay more for commonly used products and materials,” the Chamber said in the report. “Retaliatory tariffs imposed by other countries on U.S. exports will make American-made goods more expensive, resulting in lost sales and ultimately lost jobs here at home. This is the wrong approach, and it threatens to derail our nation’s recent economic resurgence.” The tariffs could also trigger job losses. The Chamber said 567,500 Alabama jobs are supported by global trade. Alabamians against tariffs Last week, Gov. Kay Ivey contacted U.S. Secretary of Commerce Wilbur Ross and several members of the Alabama congressional delegation expressing her concerns over the tariffs. “Import tariffs, and any retaliatory tariffs on American made goods, will harm Alabama, the companies that have invested billions of dollars in our state, and the thousands of households which are dependent upon those companies for a good-paying job,” Ivey said in a statement. “I strongly oppose any efforts that may harm those companies that employ thousands of Alabamians and contribute billions to our economy. I am committed to protecting Alabama jobs and consumers, the world over, who are proud to purchase products made in Alabama.” U.S. Sen. Doug Jones is also concerned with the tariffs. “Auto manufacturers and suppliers employ nearly 200,000 of our constituents and that number is growing. These are good jobs employing American workers. Over the past several years the automotive industry, including foreign manufacturers, has invested billions in our states and created thousands of jobs,” wrote Jones, along with Tennessee U.S. Sen. Lamar Alexander.
GE Appliances to create 255 jobs in Decatur with $115 million expansion
GE Appliances on Friday announced plans to invest $115 million to expand its Decatur, Ala. refrigerator manufacturing plant. The expansion will add 255 new full-time jobs, bringing the plant’s total employment to nearly 1,300. The investment will help GE Appliances increase production to meet increasing demand for its top-mounted freezer refrigerators and represents the company’s latest step toward fulfilling a strategic goal of becoming the leading major appliance business in the U.S. “The expansion being announced today by GE Appliances reflects the company’s deep commitment to its employees at the Decatur facility and to the state,” said Gov. Kay Ivey of the news. “We’re proud that this great company calls Alabama home, and we look forward to supporting the continued growth of a manufacturing location that has a substantial economic impact on the area.” The investment will add approximately 40,000 square feet to the plant, along with new cutting-edge manufacturing equipment that further advances GE Appliances’ plan to transition to a fully interconnected digital factory. This advanced equipment will also provide the Decatur operation with rapid flexibility, enabling it to offer future product innovations while building on a legacy of quality leadership. Overall, the investment will boost production capacity by 25 percent and make the Decatur plant a “refrigerator super site” for GE Appliances. “Our announcement today is great news for our business, for our GE Appliances family in Decatur, and for the State of Alabama,” added Kevin Nolan, President and CEO of GE Appliances. “Our $115 million investment in Decatur is a critical part of our plan to be the leading appliances business in the United States. We are already a significant member of the local Decatur community, and look forward to a continued partnership with Decatur and the entire state of Alabama for many years to come.” Decatur plant GE Appliances’ Decatur plant is already the largest industrial employer in Morgan County. The company conducts approximately $95 million in business with suppliers across Alabama, and the construction of the expanded Decatur facility and increased production is expected to expand this business. Following the investment, the five-year economic impact of the Decatur operation is expected to increase to $2.2 billion, according to GE Appliances. “Today’s expansion announcement is a reflection of the company’s commitment to our Decatur community and a testament to the accomplishments of the GEA-Decatur team,” Decatur Plant Manager Renee Story said. “This investment means we will not only be able to welcome more than 250 new associates and enhance our skill level, but also expand our relationships with local suppliers.” Story continued, “We appreciate support from the State of Alabama, the City of Decatur, the Morgan County Commission, the Morgan Country Economic Development Association, and the Tennessee Valley Authority in helping make this investment possible.” The Decatur operation is the highest-volume GE Appliances refrigerator plant, producing GE and Hotpoint products that rank high in quality and dependability. As a result of this investment, the plant has opportunities for continued growth in the Decatur community for years to come. “GE Appliances’ decision to make a significant reinvestment in its Decatur manufacturing center and expand its workforce are strong indicators of the confidence the company has in its Alabama operation,” said Greg Canfield, secretary of the Alabama Department of Commerce. “This expansion project strengthens the long-term partnership we have built with GE Appliances and enhances the competitiveness of the Decatur facility.” The expansion of the Decatur plant comes as GE Appliances recently marked the second anniversary of becoming part of Haier, the world’s largest appliance brand. Since joining Haier in June 2016, GE Appliances has made a series of other major investments at its U.S facilities. “A major employer for over 40 years, GE Appliances is a fixture in Decatur-Morgan County,” added Jeremy Nails, president and CEO of the Morgan County Economic Development Association. “This announcement of new investment and jobs is a reflection of our local workforce, business climate, and economic momentum. We are grateful to GE Appliances for this expansion and look forward to supporting their local operations through this growth.”
