“Dell Inc. announced today that it will close its plant in Forsyth County by the end of January, cutting 905 full-time jobs, including 600 by mid-November,” The Winston-Salem Journal reports.
“The decision comes just two days after the $110 million plant turned four years old,” The Winston-Salem Journal reports. “The plant is considered as the largest and highest profile incentive project in Triad history, with Dell eligible for up to $315 million in local and state incentives.”
“The closing comes as a surprise since Dell officials touted the 750,000-square-foot plant as its most modern and efficient plant, indicating it would be the last of its U.S. plants it would close,” The Winston-Salem Journal reports. “Analysts said that the plant closing does represent the end of U.S. manufacturing for Dell.”
Full article here.
WXII12.com reports, “Dell received $281 million in local and state incentives to locate the plant in Forsyth County. According to the agreement, Dell was required to invest $100 million into the plant, create 1,700 jobs by September 2010 and maintain those jobs for 10 more years. If those terms weren’t met, the company would forfeit the incentive package.”
“‘It’s a very regrettable announcement. Because Dell is stopping before five years, they have to repay every penny the city has invested,’ Winston-Salem mayor Allen Joines said,” WXII12.com reports. “The company said it planned to honor the agreements. Joines said the city had invested a total of $15.2 million in incentives.”
Full article here.
MacDailyNews Take: Mikey’s got the SID part on track, now all he has to do is get to work on GTMBTTS. Hopefully the affected employees will be able to find better employment opportunities as soon as possible.
Isn’t Apple opening something somewhere near there?
This would be a much bigger story in Winston-Salem had it not been for two police officers being shot early this morning.
Great timing, Dell. Nice way to bury the bad news.
@HMCIV
“Near there” would be about 60 miles west of Winston-Salem.
Feel really bad for the employee’s. I have been there a few times. Really nice area.
The market is not kind if you only follow.
You pay now or you will pay later; but you will pay.
Sad…..
And give the shareholders back their money???
This is really kind of sad for America. It wouldn’t be so bad if the companies weren’t also offshoring the higher end engineering jobs as well.
In the end, I don’t know who they expect will be left to buy anything in this country at this rate.
At least Dell tried to make a US solution work even with the tax breaks. Dell, though, is still second best to Apple. Apple had the good economic sense to bail on the US years ago.
It’s time to GTMBTTS at Dell… know who in their right mind wants to buy a Dell after that litter bit of news! One would have to nuts!
How I feel for those who are left without jobs.
Meanwhile, Mikey Dell goes about his business of protecting his personal wealth and selling the cheapest
Scheiße around.
SIDGTMBTTS
–mAc
Yup — them there tax brakes fer Dell stimulationed the heck out the Winston economy. And it didn’t even take ’em the whole ten years.
Not only the unfortunate 905 who are losing their jobs, but the people of Winston and NC who are inheriting this boondoggle are screwed, too. Hopefully, something productive can be done with the facility.
Has anyone seen Michael Moore’s latest movie?
It’s NEVER good when our people loose jobs regardless of what company they are affiliated with. Let’s all hope they find meaningful employment soon.
It’s still bothersome that our technology is developed here and then manufactured “over there”. Yet we complain and scoff when US Corporations are given tax breaks and incentives.
More like SOL and running out of options (pun intended).
And now they have a 750,000 sq. ft. empty building. Good luck getting something new in it. Panasonic (Matsushita) bailed on my town and left a big ass plant empty. I don’t buy their products anymore.
@jaundiced:
“At least Dell tried to make a US solution work even with the tax breaks. Dell, though, is still second best to Apple. Apple had the good economic sense to bail on the US years ago.”
True if you’re talking strictly manufacturing. But Apple is actively creating jobs in the U.S.
I hate to see jobs lost, especially in my state.
Never a fan of Dell products, i still feel for the employees.
Best of luck to each and every one of them and hope they find a new job quickly.
@Deus:
You’re right of course, and it could be very good if the possible 3,000 theoretical jobs actually are created. Still, there have been far too many bad job reports overall in the US. The data center is great for NC job creation, but for the US it’s hardly a blip.
If you’re an Apple fan like most of us here are, though, the data center promises some good things ahead.
Yes. A reminder of the sadness in this country with manufacturing moving overseas. It is increasingly hard to find American made products in stores here. They are normally good quality, if more money. I buy American when I can. When a country no longer makes its own goods, it does lose a sense of pride it had once. I have seen this in other countries where little, if anything, is made in that country. And there are already so many people out of work here. I hope everyone, at Dell and elsewhere, find jobs.
Let’s hope the the state, counties and cities of NC don’t ever buy a Dell product again.
Welcome to the Obamanation! Regulating jobs right out of America!
Tom Strong,
If you really believe that this is due to Obama adminstration policies, then you’re a bit of a fool.
Cheers!
yeah…nice one…. Obama is responsible for moving industry offshore. Read a freaking newspaper, other than kool-aid drinker daily. Apple should use their high profit margins to begin a new industrial base in the US. They’re always setting trends, maybe they could put this sway to good use. Patriotism is so loosely tossed around today. I’m a mac head, but at least Dell had manufacturing in the states.
I make things here in the united states. But I get literature from the government, tax incentives even, telling me it will be cheaper and more profitable for me to move my business offshore. But I can’t get myself to do it…
Don’t get an electronic engineering or software tech job, those are moving to India as well. America is soon going to be a second rate country. China will be number one in 7-13 years…
This is not new, been happening since Reagan took office. Thanks to both parties. Clinton signed NAFTA, GATT and put into existence the WTO. You can thank congress for the current mess we find ourselves in as well..