It’s a story that has flown somewhat under the radar in recent weeks but could soon capture the Ocean State’s attention.
Seeking greener pastures, General Electric has been exploring …
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It’s a story that has flown somewhat under the radar in recent weeks but could soon capture the Ocean State’s attention.
Seeking greener pastures, General Electric has been exploring alternative homes for its global headquarters after decades in Fairfield, Conn. A decision could come by year’s end.
Recent reporting from the Hartford Courant and the Boston Globe indicates the company is very seriously mulling a move, based on concerns over Connecticut’s taxes, business climate, and long-term financial outlook. Reports suggest Rhode Island remains a real player – along with Boston and New York City – to lure GE.
The multibillion-dollar company remaining in Connecticut is quite possible, of course – although the mood of many elected officials in our western neighbor seems to be increasingly pessimistic. And the prospect of competing against Boston and New York is a daunting one for Rhode Island, given the international reputations of those cities. Nonetheless, seeing GE set up shop on the shores of Narragansett Bay appears less far-fetched than many may initially believe.
While states nationwide have sought to court the corporate giant, the search has reportedly narrowed to locations in the Northeast out of a desire to maintain a continuity of lifestyle and not dramatically uproot employees and their families.
Rhode Island offers many of the same benefits as Connecticut – quick access to two world-class cities without the high costs and congestion, and with its own set of cultural amenities – and may ultimately be more competitive in terms of taxes and incentives than either of its metropolitan rivals.
Reporting has also indicated GE has a positive view of Gov. Gina Raimondo’s work on public pension reform, particularly in contrast to where Connecticut finds itself on that issue.
The governor, a former venture capitalist turned public official, armed with a range of economic development tools that were included in this year’s budget, would undoubtedly go all-in to lure an iconic brand to the Ocean State. GE would bring hundreds of high-paying jobs and a great deal of prestige.
Rhode Island likely remains an underdog as GE continues its search. But to be included in the discussion – and, apparently, taken quite seriously as an option – is a clear positive for our state, particularly in a regional context.
We’ll be keeping an eye on GE’s decision in the weeks ahead. Rhode Island, and Raimondo, may be getting an unexpected gift this holiday season.
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RISchadenfreude
As long as unions control labor in RI and have representation in the GA (no one thinks union attorneys in the General Assembly is a conflict of interest?!), count on major players bypassing RI as a home for business. RI continues to rank in the bottom five for friendliness to business, up from dead last a few years back.
Major businesses stimulate the economy by hiring locally, bringing in people from out of state, and then those people spending money in the State; as long as RI's xenophobic residents view limited business tax credits and other incentives from a "that's how they get ya" standpoint, and as long as permit issuers, politicians and bureaucrats approach them with their hands out, they'll continue to avoid RI like the plague; businesses will also continue to leave until there is no tax base left, other than those who are too stubborn, too uninformed, or too unqualified to leave.
Tuesday, December 22, 2015 Report this
Justanidiot
GE is an industrial dinosaur that will be extinct within a decade. If it comes to RI, then it should be renamed 38 industries.
Wednesday, December 23, 2015 Report this
patientman
Justanidiot, GE isn't coming to RI but it isn't going bankrupt either. The turnaround is well under way and the stock is at multi year highs.
Tuesday, December 29, 2015 Report this
Justanidiot
patientman at least until GE can figure out a way to put all of their operation overseas.
Since Neutron Jack, GE has been cutting back it US operations to nothing. Might as well send the execs to someplace really nice too.
Tuesday, December 29, 2015 Report this