Editor's Note: Strong Government/Business Partnerships Mitigate Location Risks
Economic development programs are evolving to help companies mitigate risks and boost their return on investment, while businesses are also placing increasing emphasis on environmental, social, and governance (ESG) issues.
Q3 2021
Among the business dynamics that are shifting in a post-pandemic world are workplace norms, which now emphasize environmental, social, and governance (ESG) issues, including climate change, social equity, and business ethics. Goals are being established to reduce greenhouse gas emissions, support diversity and inclusion (D&I), engage with the community, prioritize employee safety and wellness, and more, according to Steve Tozier at EY.
Brooke Beebe, who is senior vice president of Advocacy and Engagement at Hemlock Semiconductor, says her firm has hired its first diversity and community liaison, as well as increased the number of women and non-white males in professional and technical roles.
Economic developers are also targeting their business attraction approaches to ensure they support these post-pandemic goals. And while the financial incentive programs that economic development departments are known for will remain a priority, these programs are evolving in order to help companies mitigate risk and boost their return on investment, according to those on the Business Incentives Practice team at Cushman & Wakefield.
Supply chain disruptions, a shortage of industrial real estate product, and hybrid employment models have increased site selection risks. Incentives are usually based on the capital investment and job creation numbers that a company has promised at the location of choice. However, a large capital investment for automation would reduce employee headcounts, and a hybrid or work-from-home scenario would do the same – both resulting in a company not qualifying for incentives. This is where a strong partnership between government and industry adds value by providing flexible incentive programs to accommodate projects varying in terms of scope and size.
Project Announcements
South Korea-Based SPC Group Plans Burleson, Texas, Production Operations
02/05/2025
Diageo North America Plans Montgomery, Alabama, Manufacturing-Warehouse Operations
02/05/2025
Octillion Power Systems Establishes Reno, Nevada, Battery Manufacturing Operations
02/05/2025
Letica Expands Fulton County, Kentucky, Operations
02/05/2025
Japan-Based Murakami Manufacturing USA Expands Taylor County, Kentucky, Operations
02/05/2025
Hex Armor Expands Grand Rapids, Michigan, Operations
02/05/2025
Most Read
-
2024's Leading Metro Locations: U.S. Cities on the Rise Amid an Economic Reshuffling
Q4 2024
-
The Workforce Factor: How States Are Competing to Build Tomorrow's Talent
Q4 2024
-
Best Practices in Incentives Procurement
Q4 2024
-
Five Strategies to Tackle the Data Center Talent Shortage
Q4 2024
-
Microsoft-Three Mile Island Deal Could Signal Path for Nuclear Power to Strengthen Partnerships with Big Tech
Q4 2024
-
Industries Look for Employees in Nontraditional Spaces Amid Labor Shortage
Q4 2024
-
Why Decarbonization Goals Start with Site Selection
Q4 2024