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Mayors Defend Electrolux Deal

Reported by: Eli Ross
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Updated: 1/12/2012 7:08 pm
MEMPHIS, TN (abc24.com) - Mayor A C Wharton says controversy over who will build Electrolux's new factory is much ado about nothing.

"Nothing this big and this good, ever comes without some pain," Mayor Wharton said.

Several city council members expressed outrage when they learned that Electrolux had selected a Mississippi general contractor to build the kitchen appliance factory. This, after both the Memphis City Council and Shelby County Commissioners voted to give the appliance maker close to $200 million in tax breaks and incentives.

"We're committed to go through those pains, to suffer the slings and arrows that get thrown at us, that's just a part of it," Mayor Wharton said.

Mayor Wharton and Shelby County Mayor Mark Luttrell met with company officials on Thursday, trying to encourage the company to hire more local and minorities.

"Although there has been some anxiety on the part of the public, this is a problem we welcome," said Mayor Luttrell.

Once the factory is up and running, it is expected to employ more than 1,200. City leaders say they don't think this dust-up will discourage other companies from looking at Memphis for investment.

"We've gone through some growing pains, we've learned how to do it, I think we're better prepared when it comes to the next opportunity." Mayor Luttrell said.
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The views expressed here do not necessarily represent those of abc24 News

crazydayz - 1/13/2012 2:34 PM
0 Votes
well said taint.....

Golden Taint - 1/13/2012 9:43 AM
1 Vote
So stupid. When they say that they want them to hire more "local and minorities" I'm pretty sure they don't mean Mexicans. Obviously, they mean that they want Electrolux to hire black owned companies. What's ironic is that blacks aren't a minority in this city, but are by far the majority. It's kinda irritating how backwards things get in this city because our leaders are always pulling this kind of crap. Here's some food for thought, to wrap this up; The Memphis employees who drafted and signed the agreements with Electrolux are basically angry now because they did a poor job and didn't have the foresight to plan for this and make these deals on the front end. Now were these same city employees hired into their positions because our local government prioritizes the need for them to be black over the need for them to be good at what they are hired to do?

thomas70 - 1/13/2012 8:35 AM
1 Vote
First, I heard the deal would create jobs by 2014, now I am hearing that the problems that are now being discussed puts the project off until 2016 - 2017, time of completion. My question was for 2014 and especially now for 2016 is who can afford to put their lives on hold in hopes that this will "ever" happen? I believe the job itself should be awarded to the company with the "Best" bid, and with emphasis on Quality of work, Ability to Complete the job on time or Earlier; and Within the Cost submitted. Looking at the price of gas and food going through the roof, I can envision the initial conversation on cost has already risen. So lets get going on this project, or lets move on to something real.

JonBranda - 1/13/2012 6:59 AM
1 Vote
I find it hard to believe that any business would want to locate in Memphis and/or Shelby county. Between the corrupt government and uneducated work force here along with the high crime rates its not an inviting environment.

Excel - 1/13/2012 5:19 AM
1 Vote
govt is bad for business,these leaders are not qualified to negotiate with biz owners and that why america is broke
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