“As far as wages go the ILC projects an average wage of $45,000 and that far exceeds minimum wage and our current county average.” — Bob Gernert, September 22nd, 2007 at 10:33 am
Remember when we reminded you to look at the fine print? Let’s do it again and use CSX’s own numbers:
First, you and I would call “wage” the salary we get paid before taxes. But CSX’s January 2006 report wants to remind you:
“Employment compensation represents total payroll costs, including: the wages and salaries of workers who are paid by employers, as well as benefits such as health and life insurance, retirement payments, and non-cash compensation. – Table 10:ILC Employment Breakdown with Salary Information”
So, you’re not taking home $45,000 before taxes. As a matter of fact, CSX claimed $43,000 total compensation for “employment at the park.” The numbers are much lower for outside the park, but no one wants to talk about those numbers any more. (But, if you like, I can discuss those numbers next week. they’re not pretty.)
Let’s look at those “at the park” numbers, shall we?
200 of the projected jobs are for CSX employees. It doesn’t look like your going to get one of those jobs. CSX has said most will probably move from Orlando. It’s too bad as those jobs supposedly average $62,500 total compensation.
CSX believes 1800 other jobs would “be generated after 10 years of operation (employment will ramp up over the 10 period as the ILC is built out. The economic projections below are the total cumulative benefits that will accrue over the entire 10 year period. – Table 8: Long-Term Economic Impacts of the Integrated Logistics Center (Total after 10 years)” The employment at the park numbers are broken down in Table 9: Annual Polk County Employment Impacts After 10 Years (Number of Full-Time Jobs Created)
So let us look at those “1800 possible jobs after 10 years”…
200 FTEs as office/administrative service at $54,900 total compensation. 500 FTEs as industrial plant/sites at $44,000 total compensation and, here’s the jobs you have the best chance of getting 1100 FTEs at $36,000 total compensation.
Remember that $36,000 includes everything…salary would be lower.
To put the numbers in context. Let’s look at a fact about minimum wage and discuss the term “self-sufficient wage.”
A full-time worker (working 2,080 hours a year) earning $5.15 an hour would earn $10,712 a year, well below the 2007 federal poverty line of $17,170 for a family of three.
Let’s hope the jobs pay better than minimum wage. A full-time worker earning minimum wage of $5.15 would earn 10, 712 a year. Remember that the 2007 federal poverty line is $17,170 for a family of three . Remember that when someone brings up minimum wage.
Self-sufficient wage refers to the compensation a working adult requires to provide for that individual’s own needs (in the case of a single person) or his or her family’s fundamental needs at some minimum standard without public assistance or subsidies. – Self-Sufficiency: Definitions & Pathways
In Polk County the self-sufficient wage for a single parent, 2 children is $14,16/hour or $29,474/yr with employer paid insurance. It is $15.59/hour or $32,427/yr with self-paid insurance. The self-sufficient wage for a married couple, 2 children is $7.95/hour each or $33,072/yr with employer paid health insurance. It is $8.99/hour each or $37,398/yr with self-paid insurance.
That means 55% (1100 of 2000) of the jobs projected after 10 years are barely self-sufficient.
And these are CSX’s own numbers.
Florida taxpayers are going to pay more than 450 million dollars to improve the business of this 19th Century technology. I think Polk County has the talent and creativity to attract 21st Century jobs.