GE, Along With Other Corporations, Are Looking For The Best Relocation Deals

It is common for American companies to move their manufacturing plant in order to get cheaper labour or have more accessibility to raw materials. In the United States of America, states are currently in competition in order to gain new companies in their region as well as benefit from the jobs it brings along. With this, the corporations are trying to leverage to get the best deals as well as profit from tax incentives through relocation.

For over four decades, the headquarters of United States General Electric has always been the two buildings that are located in Fairfield, Connecticut. GE is known as one of the leading manufacturer in the country. Last year, the company made announcement regarding their plan to more to Boston and with this they will be taking 200 jobs that are high paying with them.

The First Selectman of Fairfield, Mike Tetreau, said that there are two sides on the issue. One is saying that the company has been planning the move for awhile and that there is nothing that they can do about it while the other one is saying that the state is to be blamed because of the tax environment which is why the company decided to move out of Connecticut.

GE is one of the highest taxpayer of Fairfield. In fact, the company paid a property tax worth $1.6 million for the previous fiscal year. Currently, GE still has over 4,000 workers that are located in various Connecticut facilities along with the 600 that have been relocated from the headquarters. The relocation of the company is a blow to the state since it is already having issues with fiscal liabilities.

According to the Commissioner of the Connecticut for the Department of Economic Community Development, Catherine Smith, the fact is that only 200 jobs will be moved from Connecticut to the new headquarters in Boston which is not a deal breaker in terms of the state’s economy. What affect them the most is the symbolism by the decision of the company to move from the state and this is something they have been wrestling with in a way.

The same of true with companies in Australia, they are now bolder when it comes to relocating because there are reliable Sydney removals companies to hire when moving.