NUMMI Closing Highlights Need for U.S. Manufacturing Policy
Closing the New United Motors Manufacturing Inc. automotive plant in California will eliminate 25,000 jobs in the state and cost taxpayers $2.3 billion to replace the jobs lost, according to a March 3 report by University of California professor Harley Shaiken.
The Daily Labor Report (subscription required) notes:
California and municipalities near the Fremont, Calif., plant will lose nearly a billion dollars of revenue in the decade after the plant closes, according to a blue-ribbon panel formed by state Treasurer Bill Lockyer (D).
Using estimates by the President’s Council of Economic Advisers, the report found that “just creating 4,700 jobs-the number lost at NUMMI itself—would cost $433 million.”
