National Experts Weigh In: RTW Making a Difference


In the economic development world, Site Selection magazine is a major player. People pay attention to its annual rankings and those in the business of helping identify new company locations regard it highly.

It’s no surprise that the publication would feature a story on Indiana’s right-to-work law. And the reaction of the site selection community is expectedly strong; after all, Indiana is the first state to make the RTW move in the last 11 years.

Below are a few very encouraging quotes from the article; find it in full here.

"It changes to the positive my perception of Indiana’s business climate," writes a site consultant. "My marketplace is north Texas. I can give personal testimony that my state has attracted many relocated facilities from the Midwest for two reasons: the absence of a personal and corporate income tax and Texas’ right-to-work laws. I would expect Indiana to be able to keep more of their existing employers now rather than watch them leave for greener pastures."

Also weighing in is Robert Price, director of Atlanta-based Herron Consulting: "This issue is also closely followed overseas," he notes. "Many of our offshore clients are aware of the implications of U.S. right-to-work laws, and the significance of these laws in the site selection decision process has not waned. Some states are exhibiting greater confidence in their ability to make difficult decisions as they come to terms with the ‘new economy,’ and the change in Indiana reflects this."

"This really puts pressure on the other states in the Midwest," says site selection consultant Bob Ady, president of Mount Prospect, Ill.-based Ady International Co. "Site selection is a question of differentiation, and this is a major differentiator for Indiana and its neighboring states and throughout the Midwest."

All things being equal, would Ady steer a client to an Indiana site today — or higher up on a finalist list of Midwestern states? "Yes," he says, "though we just make recommendations. It’s up to the companies in the end. I’m working right now with an international company that is now specifically considering Indiana, where it wasn’t previously. Right-to-work has already had an impact."
 

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