State offered $27 million in grants over 12 years if the company keeps its jobs promise
CHARLOTTE, N.C.—Appliance maker Electrolux announced plans Friday to create more than 800 additional jobs over the next four years in Charlotte as it expands next to its North American headquarters.
Gov. Pat McCrory and Commerce Secretary Sharon Decker joined Electrolux Major Appliances North America CEO Jack Truong to announce construction of a new six-floor, 375,000 square-foot facility for marketing, research and development and other company operations.
McCrory’s office said the company plans to invest $85 million in Mecklenburg County and create jobs by the end of 2017 with average annual compensation of about $100,000.
About half of the Swedish company’s nearly 1,500 current North Carolina employees work at the headquarters, which came to Charlotte in 2010 from Georgia. The company also operates a dishwasher manufacturing facility in Kinston and parts distribution centre in Henderson County.
“This announcement helps solidify our position as a state with a skilled workforce and strong business climate, and a place where global companies operate their North American headquarters with much success,” McCrory said in a news release.
A state committee agreed earlier Friday to award a maximum of more than $27 million in cash grants to Electrolux over 12 years if they meet investment and job creation requirements. The Job Development Investment Grants are based on a percentage of the personal income tax withholdings generated from qualifying jobs.
Under the terms of the agreement released by the Commerce Department, Electrolux must create at least 412 jobs by the end of 2015, rising to 648 jobs by the end of 2017, to continue receiving grants. The company also must invest at least $76.5 million by the end of 2016, the agreement said.
Electrolux, with 58,000 employees worldwide, builds and sells refrigerators, vacuum cleaners and others products under brands such as Electrolux, Frigidaire and Kelvinator.