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A  SITE  SELECTION  SPECIAL  FEATURE  FROM  JULY 2001


Tar Heel State
Beckons Business
With Available Labor

by GINNY DEAL
ginny.deal@conway.com

N
orth Carolina has rolled out the welcome mat for business with an enticing commodity -- available labor. Business has taken note. Last year Corning Manufacturing announced it is expanding its fiber optics plant in Concord, with plans to hire an addtional 475 employees. When fully operational, the Corning Concord plant will be the largest of its kind in the world.
      "North Carolina can take pride that Corning continues to recognize the quality of our work force and the long-term value of investing in our state," said former Gov. James B. Hunt. "This is the largest single investment in our history."
      Corning's announcement could not have come at a better time for the state. Last year, the Tar Heel State posted a record loss of 27,800 manufacturing jobs, according to the federal Bureau of Labor Statistics. Officials cite foreign competition, reduced labor costs and the decrease in public demand in the computer and electronics sectors. The state's textile industries have taken the biggest hit, with 13,000 job cuts posted statewide.
      "Those jobs are going to go because they can't be competitive in the global economy," says North Carolina Commerce Secretary Rick Carlisle.
      North Carolina has long held the title of the nation's largest furniture and textile producer. For generations, countless small towns across North Carolina relied on local mills or plants for their economic survival. But with the nationwide shift away from the manufacturing sector and many companies moving operations overseas, North Carolina now leads the nation in manufacturing job losses.
      While state officials claim the numbers paint a grimmer picture of the manufacturing segment than is true, the figures are telling. Charlotte has lost 22,000 manufacturing jobs in five years. The manufacturing sector dropped 5.2 percent from December 1995 to December 2000. Unemployment figures for the city of Charlotte decreased slightly in February to 4 percent. But this cloud may have a silver lining for the state, and it's called available labor. At a time when industry is desperately searching for qualified labor, North Carolina with its growing population and highly educated work force may be the answer.

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