boutons_deux
05-27-2013, 09:22 AM
Mississippi Lavishes $1.3 Billion in Subsidies on Nissan as Workers Get the Shaft
Thirteen years after Japan-based automaker Nissan chose the small, impoverished community of Canton, Miss., as the site of a new auto-assembly plant, a just-released study shows that the company is failing to deliver on its promise of high-wage job creation in Mississippi—while at the same time draining the state of revenue used to pay for a massive package of subsidies.
According to a study (http://www.goodjobsfirst.org/nissan_report) released on Friday by the Washington, D.C.-based research group Good Jobs First, the citizens of Mississippi—which ranks dead last (http://www.nbcnews.com/business/maryland-richest-state-mississippi-poorest-1B6004128) among U.S. states in median household income—are bestowing an estimated $1.33 billion in subsidies on Nissan over a 30-year period for the privilege of hosting the factory.
“This is the largest incentive package that we have encountered in the auto industry,” declared Philip Mattera, research director of Good Jobs First and co-author, with Good Jobs First research analyst Kasia Tarczynska, of the report, titled “A Good Deal for Mississippi?” (The costs of the study were financed by the United Auto Workers, which is a sponsor of In These Times.)
The Mississippi subsidies, as calculated by Good Jobs First, are 3.4 times as large as the $387 million figure claimed by the state Economic Development Authority (EDA) in an April 4 e-mail to Working In These Times. The average subsidy package for 12 other new auto-assembly plants across the South is $236.6 million, In These Times estimates
http://inthesetimes.com/images/articles/13_AutoSubChart.jpg
http://inthesetimes.com/working/entry/15046/how_mississippi_lavished_subsidies_on_nissan_as_wo rkers_got_the_shaft/
But I'm sure the politicians who forgo taxes and spend subsidies pocket $Ms in contributions.
Thirteen years after Japan-based automaker Nissan chose the small, impoverished community of Canton, Miss., as the site of a new auto-assembly plant, a just-released study shows that the company is failing to deliver on its promise of high-wage job creation in Mississippi—while at the same time draining the state of revenue used to pay for a massive package of subsidies.
According to a study (http://www.goodjobsfirst.org/nissan_report) released on Friday by the Washington, D.C.-based research group Good Jobs First, the citizens of Mississippi—which ranks dead last (http://www.nbcnews.com/business/maryland-richest-state-mississippi-poorest-1B6004128) among U.S. states in median household income—are bestowing an estimated $1.33 billion in subsidies on Nissan over a 30-year period for the privilege of hosting the factory.
“This is the largest incentive package that we have encountered in the auto industry,” declared Philip Mattera, research director of Good Jobs First and co-author, with Good Jobs First research analyst Kasia Tarczynska, of the report, titled “A Good Deal for Mississippi?” (The costs of the study were financed by the United Auto Workers, which is a sponsor of In These Times.)
The Mississippi subsidies, as calculated by Good Jobs First, are 3.4 times as large as the $387 million figure claimed by the state Economic Development Authority (EDA) in an April 4 e-mail to Working In These Times. The average subsidy package for 12 other new auto-assembly plants across the South is $236.6 million, In These Times estimates
http://inthesetimes.com/images/articles/13_AutoSubChart.jpg
http://inthesetimes.com/working/entry/15046/how_mississippi_lavished_subsidies_on_nissan_as_wo rkers_got_the_shaft/
But I'm sure the politicians who forgo taxes and spend subsidies pocket $Ms in contributions.