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> Issue 50 > Page 24 - We Worked for General Instruments: Part Two: The Conclusion

Page 24 - We Worked for General Instruments: Part Two: The Conclusion

Published by Ronald Caplan on 1989/1/1 (282 reads)

thing like rent free for the next 25 years if (they were) going to stay here, or something like that. (Was the wage differential so much between Cape Breton and Mexico?) At the time they went to Mexico it was 40 cents an hour. But with the low labour in crement in your product, I mean--that isn't the thing Now, will you--a company operating here in Sydney, and you thought you could get 40 cents an hour labour down in Mexico--would you turn around and spend over 3 or 4 million dollars mov? ing your whole facility down into Mexico to get the' 40 cents an hour? I don't think you would. (That's exactly the question. Why did they then spend 3 million dollars to move to Mexico to save 40 .cents an hour?) Maybe because--maybe they didn't spend 3 million dollars. Maybe the tax rebates they got The Cape Breton Post: March 20,1974: "The failure of the U. S. based manufacture of radio tuners illustrates once again the weakness of the old approach to industrial development," Tom Kent, presi? dent of the Cape Breton Development Corporation, said last night. from the U. S. government in order to al? low the State Department to dicker for the oil rights in Mexico, in exchange for la? bour-intensified industries coming down there--which was the insistence of the Mexican politicans. 'Cause there are no social programs down in Mexico. You're out of work, you go out on the street and bum. Development agencies, including Devco, were wrong to induce firms to Nova Scotia by offering large finan? cial incentives to interests that had "no local need for local resources, other than low wage labour." THE TREASURE COVE GIFTS AND HANDCRAFTS High quality gifts and crafts from Cape Breton, Nova Scotia and abroad 1-902-564-8158 Children's books and toys - pre-school to 12 years 1-902-539-3035 Open Mon.-Sat. 9-6, Thurs.-Fri. until 9 74 Townsend St., Sydney, N. S. B1P 508 Why did General Instru? ments move here in the first place? Because there was a government inducement in it. So why did Gl move out of here? Because there was a gov? ernment inducement from the other end. (That's the nuts and bolts of it.) Certainly. It's amazing that people want to make the thing so complicated. It isn't complicated at all. It's a matter of dollars and cents. I was really proud, I was elated, that my boss would say, "Okay, you're a herring- choker. The best place for. you is in Syd? ney." And I was really proud, that I was going to have something here that, "Gee, maybe it will be good for Nova Scotia." 'Cause I can remember after going to school in Boston, going back to Lunenburg, and I had one alternative. I could go fishing. And I went. I went dory fishing. And that wasn't the neatest thing in the wintertime, down on the Banks. I felt, "Gee, all these years, they haven't got 539-4413 539-4415 "GOOD DEALS ON GOOD CARS!" Located on the Sydney - Glace Bay Highway C'~r CO-OP Building Supplies ' V %/K STATION ST.. PORT HAWKESBURY - 625-2600 KING'S ROAD, SYDNEY - 539-6410 d 'C;i • ILJF'I/l>'r|C Manufacturers of Quality HARBOUR HOMES MIH) Pointing the Way to Better Living We've been building quality into our homes for more than 32 years. Over 40 Home Plans to Choose from You've Got Experience PLAN ON PANELING Plan on paneling with Cantor pre-finished plywood paneling. Easy to install, each 4' X 8' panel looks like authentic Ash, Pecan, Cedar & Oak, and can be easily cleaned with a damp cloth. Next time, plan on Cantor. Building IMateriais Thermogllder Windows Horizontal Slider & Basement Windows Picture Windows Awning Windows Checkrail Windows Casement Windows Entrance Systems on Your Side
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