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Old 05-27-2011, 12:23 PM
 
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Originally Posted by us66 View Post
Question- if the workers who are being hired for this plant are all on some layoff list, won't they be making $25+ an hour, being grandfathered into the old system?
According to the Detroit News, only just over 1,300 will be hired into the old contract. The rest (new hires) will be hired into the new contract.

Autos Insider | GM confirms new shifts, 2,500 jobs in Hamtramck | The Detroit News (http://www.detnews.com/article/20110526/AUTO01/105260342/ - broken link)
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Old 05-28-2011, 09:45 AM
 
Location: North of Canada, but not the Arctic
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Originally Posted by michigan83 View Post
I think another barrier to seeing new manufacturing plants within the city limits of Detroit is the history of incompetent government in Detroit. Not necessarily. It could also be of benefit. Incompetent politicians can easily cave in to big business. Coleman Young helped out GM with the Poletown plant, for example. Also, aren't the property taxes in Detroit ridiculously high? Yes, but big corporations can easily finagle a tax break. I understand that they are in a catch 22 because the tax revenues are falling so drastically, so lowering property taxes would make the problem worse. But I wouldn't want to locate a huge plant in a city that is cash starved, has a history of corruption, and would look at my facility as a cash cow. Seems like a recipe for trouble. It depends on whether or not you have the politicians in your back pocket.

Usually there is a benefit to living somewhere with high property taxes. The benefit is a very high level of services, lots of conveniences, and a very nice place to live. True for people. Not necessarily true for big business. Based on what you are getting as a property owner, Detroit should have the lowest property taxes in the nation. But, again, they are stuck. Lowering taxes to where they should be would instantly bankrupt the city.
Not necessarily. If Detroit were more affordable (or comparable to the affordability of the suburbs), many Detroiters would stay and outsiders would consider moving there (myself included).
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