The factory will cost $800 million to build, with the federal and provincial governments kicking in $125 million of that to help cover research, training and infrastructure costs.What a sad commentary on the state of things in the US. People here are so used to blaming unions (i.e., paying people a living wage and offering them some modicum of job protection) for the absence of manufacturing jobs. This is an interesting bit of truth-telling.
Several U.S. states were reportedly prepared to offer more than double that amount of subsidy. But Fedchun said much of that extra money would have been eaten away by higher training costs than are necessary for the Woodstock project.
He said Nissan and Honda have encountered difficulties getting new plants up to full production in recent years in Mississippi and Alabama due to an untrained - and often illiterate - workforce. In Alabama, trainers had to use "pictorials" to teach some illiterate workers how to use high-tech plant equipment.
"The educational level and the skill level of the people down there is so much lower than it is in Ontario," Fedchun said.
In addition to lower training costs, Canadian workers are also $4 to $5 cheaper to employ partly thanks to the taxpayer-funded health-care system in Canada, said federal Industry Minister David Emmerson.
"Most people don't think of our health-care system as being a competitive advantage," he said.
I had seen this story reported in US newspapers. I didn't understand the Canadian significance - until Lone Primate sent the CBC link, and someone (I think ALPF) pointed this out: