September 10th, 2009

Rural IT hubs experiencing new interest?

Posted by Brian Sommer @ 9:18 am

Categories: Current Affairs, Professional Services, Service Providers, Think About IT

Tags: Job, Hewlett-Packard Co., Information Technology, Middle Class Job, Recruitment & Selection, Human Resources, Workforce Management, Brian Sommer

Green Acres is the place to be?

InformationWeek reports that:

IBM is opening one new service center in Dubuque, Iowa, that ultimately will employ 1,300 workers. HP is opening a center in Conway, Ark., that will create 1,200 jobs, most of them paying more than $40,000, according to reports. HP’s Rio Rancho, New Mexico center, expected to open in the spring of 2010, will eventually employ 1,300 workers. The jobs will pay $45,000 and up.

When you read the article though you’ll see some questions about the large tax abatements/incentives that the governments in these affected areas are offering to get these jobs.

On the whole, I’m pleased to see businesses, any business, adding jobs in the U.S.

For these communities, they’ll benefit from the infusion of white collar jobs that will build a strong middle class economy. Middle class jobs are very scarce in many rural communities and the biggest challenge many of these communities face is to create a diversified economic base that isn’t dependent on one or two large employers. Winning a big employer like IBM or HP is great but can these towns get other firms to locate operations there as well?

I grew up around some company towns. When these businesses packed up and left, the town died with them. I hope the folks in Conway, Rio Rancho, etc. keep their momentum going.