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Illinois worried about Fox-con

by on09 August 2017

It will be 25 years before there are any benefits

The “great deal” which would see Foxconn open a show factory in the US is laced with so many sweeteners it looks like it will be a quarter of century before Illinois will see any benefit.

In fact, the whole thing looks like public money being given to a foreign company with rather little benefit for anyone other than Donald (Prince of Orange) Trump’s spinners, Apple and Foxconn.

For those who have added up the numbers, the non-partisan Legislative Fiscal Bureau say that if Foxconn keeps its commitment to build a $10 billion plant and hire 13,000 people and Illinois employees make up 10 percent of the workforce, the money the state invested will not be returned until 2045.

The analysis got to lawmakers Tuesday, two days before a planned committee vote. Democrats said the new details made them more likely to vote no.

Rep. David Crowley, D-Milwaukee said: "I think we really need to put the brakes on this, really slow down and vet this bill to make sure we get the right deal for Wisconsinites."
Governor Scott Walker claims the deal is "transformational" and is more than the effect on tax revenue.

Locals also are wondering if the deal is worth it. Foxconn was the focus of a town hall meeting in Milwaukee Tuesday night - where some asked whether it's worth it.

Foxconn CEO Terry Gou, and Gov. Scott Walker signed a memorandum of understanding for new manufacturing campus in Wisconsin but the more details come out the worse the deal looks.

To get Foxconn to the area will cost Wisconsinites $3 billion. Which seems rather a lot for just 1,300 local jobs.

Walker said that the state will get some of its money back from income taxes for the 13,000 people that will get on average $53,000/a year plus benefits. However that still means waiting 25 years for a return.

Walker said it's an investment that will change the state.

"So it will take some time, but think it is well worth it. Those 13,000 jobs will provide a $10-and-a-half billion payroll we wouldn't otherwise have," Walker said.

Well you would have it, if you kept your money in the bank and invested it.

The legislature will ultimately decide whether to give Foxconn the incentives package. The first vote could come as early as tomorrow.

Last modified on 09 August 2017
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