Amazon to bring over 1,000 jobs to the Indianapolis economy
By: Katie Parsons
on Tuesday, March 27, 2012
Amazon.com will add over 1,000 jobs t
o the Indianapolis economy by 2015, according to a statement from the company released today. The online retail behemoth has plans to build a new order fulfillment center that will cost roughly $150 million that will open this fall.
Not only will the fulfillment center inject the local economy with permanent positions when it opens, but it will also bring construction and planning jobs during the building process. The reach of the project is already beginning to be felt by those hired to build it in time to open this fall.
This will be Amazon's fifth facility in Indiana and government officials are thrilled. The others are located in Indianapolis, Whitestown and Plainsfield.
Governor Mitch Daniels said in a statement that the state is "grateful" for the jobs that Amazon.com
will provide and that it will further Indiana's position as an industry leader in logistics. The state has backed up Daniels' thankful attitude by offering Amazon up to $500,000 combined tax credits and training grants due to the lofty job creation plans.
These financial decisions come on the heels of a joint decision between the company and the state that calls for Amazon to begin collecting Indiana sales tax on Jan. 1, 2014. The 7 percent tax rate is estimated to give the state an additioinal $25 million in revenue each year.
The money will appease competitors in the state who have long complained that Amazon has side stepped the sales tax due to its online-only presence.
Amazon represents a third of all ecommerce sales in the U.S. and employs over 33,000 employees worldwide. The company was founded in Seattle in 1995 and its first shipments were sent from the garage of company CEO Jeff Bezos.
The company boasts over 30 million customers worldwide and makes its money by charging a small commission to sellers when an item is sold on the site.