- June 1, 2015 9:54 am at 9:54 am #1078683
Isn’t it wonderful that Amazon is getting tax incentives to place jobs in places that are inaccessible to most of the people who need work? Let me guess, they will be back in a few years demanding that COTA provide new reverse commute service when they can’t find enough workers to fill the jobs.July 22, 2015 11:55 am at 11:55 am #1086035
Amazon now projecting 2,000 jobs in Central Ohio, doubling previous plans
Jul 22, 2015, 10:38am EDT
Staff reporter – Columbus Business First
Eight weeks after an Amazon executive stood beside Gov. John Kasich to tout the company’s Big Data network as “just the beginning of Amazon in the state,” the e-commerce giant is moving ahead with plans to invest another $225 million here, with a total hiring projection of 2,000 jobs, according to a proposal for state tax incentives through the Ohio Development Services Agency.
READ MORE: http://www.bizjournals.com/columbus/news/2015/07/22/amazon-now-projecting-2-000-jobs-in-central-ohio.htmlJuly 22, 2015 12:46 pm at 12:46 pm #1086042
Back at the beginning of this thread, MichaelC quoted from (I don’t know where) as follows: “A 15-year, 100 percent sales tax exemption for the facility” AND “The 120 jobs will have a combined annual payroll of $9.63 million within three years, or an average salary of $80,000”
Does anyone know if they did in fact get the 15 year 100 percent sales tax credit. If so, that is a substantial amount of income the State is giving up, if it includes the order fulfillment and distribution component.
According to the 22 July 2015 Business First article (link one post above) they will be adding 2,000 jobs in the order fulfillment, distribution and back office areas. I would venture to bet most of those 2,000 jobs will not have an average salary of $80,000. More than likely they will hire something like 5,000 part time workers, at minimum wage. And, because they are part time they can get away with minimum or zero benefits.
Having Amazon here could be a good thing for the Columbus area. Just beginning to think we gave away quite a bit to get a bunch of low paying jobs and 150 or so good ones.
I won’t even get into the fact that sales tax exempt purchases from an online seller gives them an unfair advantage over your local businesses.July 22, 2015 1:27 pm at 1:27 pm #1086050
Distribution centers, especially Amazon, just about never pay minimum wage. This is especially true in Columbus where seemingly a million warehouses have to compete for labor. There’s a shortage of labor in this sector from what I understand. Part of which is probably because people have the same mindset you do about this type of work. It can be decent paying with stable hours. Two people making just $15/hour (not including the mass amount of overtime usually available to these workers) make far more than the median household income in Columbus. And $15 is what I expect will be near the minimum hourly wage paid at Amazon.
Of course, yes, due to huge fluctuations in busy/slow periods at many warehouses temps are used (good work for college students). However, when one warehouse is slow another two are busy. So take your work there. Working for an agency such as Excel where all the leg work for moving is done for you makes it fairly painless. If that’s not the type of career you want, then move sectors or keep working hard and eventually a place will hire you full-time.
The problem is a lot of young people view this as unsavory “factory” work. It can’t afford them 2 brand new cars every 3 years, a 3-bedroom apartment in the Short North, and 2 vacations a year. Therefore, it’s not worthy. If you’re smart you can easily afford a comfortable lifestyle working in this sector. And in Columbus, there’s plenty of opportunity out there.July 22, 2015 2:22 pm at 2:22 pm #1086059
I won’t even get into the fact that sales tax exempt purchases from an online seller gives them an unfair advantage over your local businesses.
That’s good because you would be wrong.
Ohioans purchasing from Amazon are no longer exempt from sales taxJuly 22, 2015 2:44 pm at 2:44 pm #1086066
If that’s not the type of career you want, then move sectors or keep working hard and eventually a place will hire you full-time.
The problem is a lot of young people view this as unsavory “factory” work. It can’t afford them 2 brand new cars every 3 years, a 3-bedroom apartment in the Short North, and 2 vacations a year. Therefore, it’s not worthy. If you’re smart you can easily afford a comfortable lifestyle working in this sector.
Not to be snarky, but, just for the record, I am not looking for work and moaning about the job opportunities. I am in my sixties and own my own business. Also own a home in the SN. But, alas, only one car (8 years old).
I just did a quick check on craiglist for jobs that sound like distribution center jobs. From the listing, here are the first six I found. I did rearrange the order and purposely left off the hiring company’s name.
Just listed as North side – starting salary $10.00 per hour – temporary hire
Located in Reynoldsburg. – starting salary $10.25 to $12.00 per hour – part time
Located in West Jefferson – starting salary $10.25 to $11.75 per hour – full time
Located in Lockbourne – starting salary $12.25 to $12.50 per hour – full time
Just listed as Columbus – starting salary $15.60 per hour – part time
Just listed as Columbus – starting salary $15.60 per hour – full time
As for Employment Agencies:
I worked for one, for a while, when I was putting myself through college. That was a number of years ago, so I just looked up some current data. According to Tech Republic: Sometimes temp agencies make money by quoting the worker a lower wage than they are actually paid by the client. In most cases the client pays the agency and the agency handles payroll, so the agency has significant leverage. The agency may even keep the pay rate a secret to get the worker to commit to the lowest possible salary. According to collegegrad.com: The average employment agency rate to hire a temp worker ranges between 25 and 100 percent of the employee’s salary.
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