Nestlie moving from Glendale to Virginia (Ross: minimum wage, tax rates, to live in)

[V8 Vega]

And there go's 1,200 jobs thanks to Democrats minimum wage, taxes, and regulations.

[BennyPhoenix]

As a businessman my biggest complaints are govt paperwork, proving compliance with rules that have nothing to do with my business, and dealing with bureaucracy.
While taxes and fees here are high the govt doesn't have to make it so complicated to pay.
Even going out of business is a pain in the butt. I recently needed to cancel a business license with the City of LA. Cant find how to do it on their website. Called and left messages, no call backs. Had to spend about 2 hours in a city office to get my answer.

[highlanderfil]

Originally Posted by V8 Vega

And there go's 1,200 jobs thanks to Democrats minimum wage

Right, because Nestle employed so many minimum-wage workers.

About 90% of the workforce — or roughly 1,100 — is eligible to be relocated

I'm sure they will happily pay thousands of dollars to move to Virginia and Ohio those who make ten bucks an hour. Get off it.

[harhar]

In short, Nestle is consolidating location because of poor earnings.

They can pay a worker less in VA than here. Simple.

Nothing to do with taxes, minimum wage, regulation or any other fake news trash spouted here.

“This location allows us to be closer to our business operations, our customers and other important stakeholders,” Paul Grimwood, chief executive of Nestle USA, said in a statement.

[highlanderfil]

Originally Posted by harhar

They can pay a worker less in VA than here. Simple.

I'm not sure this part is true. COL in NoVA is hardly lower than in CA and, again, none of the 1,200 people they are moving are low-wage earners.

[socal88]

Bottom line is that Nestle needs to find a way to cut costs and increase its share price. In Glendale, you've got a lot of higher paying finance and marketing related jobs where the company has to pay a premium to attract talent because of LA's high COL.

Rosslyn, Virginia is still in the DC metro which is a nice area and you can get people to live in areas of suburban Virginia where you don't have to pay employees as much.

[highlanderfil]

Originally Posted by socal88

Bottom line is that Nestle needs to find a way to cut costs and increase its share price. In Glendale, you've got a lot of higher paying finance and marketing related jobs where the company has to pay a premium to attract talent because of LA's high COL.

Rosslyn, Virginia is still in the DC metro which is a nice area and you can get people to live in areas of suburban Virginia where you don't have to pay employees as much.

Likewise in L.A. you can get people who live in cheaper SFV. The COL argument is a wash between L.A. and DC. Maybe Rosslyn is 5-10% lower, but it's a big maybe. There have to be other reasons.

[BGS91762]

Originally Posted by highlanderfil

I'm not sure this part is true. COL in NoVA is hardly lower than in CA and, again, none of the 1,200 people they are moving are low-wage earners.

Believe me, COL is no lower in NoVa when compared to SoCal. Probably even more expensive.

[highlanderfil]

Originally Posted by BGS91762

Believe me, COL is no lower in NoVa when compared to SoCal. Probably even more expensive.

Well aware. Although websites that calculate that kind of thing generally seem to indicate a 5% "discount" for Rosslyn, but that's really on the margins. Cheap housing near Arlington seems like a myth to me. At least cheap when compared to something available within a 20-mile driving distance from Glendale.

[socal88]

Virginia has one of the lower corporate tax rates at 6% while Ohio, where are about 300 jobs are going to, has no corporate taxes and definitely lower COL. The company also essentially implied that being in the metro DC area will enable the company to be more effective on the lobbying front.