2013 Audi A3

Warren encouraging GM to move corporate HQ with tax breaks

 
6 1,892 views May 28, 2009

GM already has its Technical Center located in Warren, which is capable of handling thousands of relocated employees

GM already has its Technical Center located in Warren, which is capable of handling thousands of relocated employees

Enlarge Photo
Detroit has long been the heart of America's automotive industry, but 2009 has been a major period of upheaval for the city, with further shocks expected to come - including the possibility that General Motors will move its corporate headquarters out of Detroit downtown area and into a neighbouring city.

Moving away from Detroit could make sense for a newly restructured GM, especially considering that a bankruptcy proceeding appears to be all but inevitable at this point and relocating the new company could do much for its public image.

One of the new sites being proposed for the GM corporate headquarters is in Warren, Michigan, which neighbours Detroit. Speaking with The Detroit News, the mayor of Warren, Jim Fouts, has revealed that his municipality is planning to offer GM a number of financial incentives to relocate there. These will include significant tax breaks for construction of new offices, as well as lower overall income taxes and reduced crime.

Whether or not GM accepts the offer is anyone's guess, but considering that it already has a bustling development unit in the form of the Warren Technical Center, the new deal could shape up to be one of the company’s most viable options.



Tags:
Posted in:
 
Contribute
Send us a tip Comment Contact the editor
Follow Us

 

Have an opinion?Join the conversation!

  • Posting indicates you have read this site's Privacy Policy and Terms of Use
  • Notify me when there are more comments
Comments (6)

  1. ma_NoNameDenton avatar NoNameDenton Posted: 5/11/2009 7:49pm PDT

    Move to a "right to work" state, that way they do not have to employ union members
     
    Post Reply
    Vote
    Bad stuff?

  2. ma_Roy avatar Roy Posted: 5/28/2009 9:46am PDT

    Let me get this straight. The company is losing hundreds of millions of dollars per month and has decided to go bankrupt. So they're going to spend millions of dollars on a new corporate HQ that won't be ready for a couple of years.
    Clearly another stroke of genius from the guys that brought you "let's put seven different badges on the same car and expect sales to heptuple!"
     
    Post Reply
    Vote
    Bad stuff?

  3. ma_DavidSilverM3 avatar DavidSilverM3 Posted: 5/28/2009 11:04am PDT

    NoNameDenton said it best. Unfortunately they will never do it because the UAW owns part of GM. This company will never be profitable because they cant control their own costs, labor included.
     
    Post Reply
    Vote
    Bad stuff?

  4. ma_NC2010 avatar NC2010 Posted: 5/28/2009 12:45pm PDT

    Not sure why it is never clearly said publicly that the unions and their excessive pay and benefits are the primary reason for the North American auto company's problems. Even the national press won't actually say it. I guess that is just not PC....
     
    Post Reply
    Vote
    Bad stuff?

  5. ma_NoNameDenton avatar NoNameDenton Posted: 5/28/2009 7:58pm PDT

    NoNameDenton said it best. Unfortunately they will never do it because the UAW owns part of GM. This company will never be profitable because they cant control their own costs, labor included.

    That will become even more true after the backruptcy, the unions get like 17% of the cpmpany
     
    Post Reply
    Vote
    Bad stuff?

  6. ma_JSH avatar JSH Posted: 5/29/2009 5:39am PDT

    GM's assembly workers are UAW but their salary and office staff are not. So moving the headquarters to a right-to-work state will make no difference.

    It will cost money to move but the tax savings may make it worthwhile depending on what incentives Warren or another city would give them to make the move. If people would actually read the article it states that GM already has an office building in Warren with room for thousands of relocated employees.
     
    Post Reply
    Vote
    Bad stuff?

 

Have an opinion?Join the conversation!

Connect with Facebook

Motor Authority. Now with your friends.

Discover stories your friends read.
Share stories more easily.
You control what you share.
Learn more

Research New Cars

Go!


More from High Gear Media

 
 
MotorAuthority
  • Follow Us
  • Twiiter
  • Facebook
 
 
© 2011 MotorAuthority. All Rights Reserved. MotorAuthority is published by High Gear Media. Stock photography by Homestar, LLC. Send us feedback.