ARTICLE TOOLS
VW IMPACT
■ 2,000 direct jobs
■ 9,477 additional jobs
■ $511.1 million a year in added income
■ $55 million a year in new tax revenues
Source: University of Tennessee
While Volkswagen’s auto assembly plant in Chattanooga will hire about 2,000 workers, an array of suppliers is expected to bring many more than that number, according to officials.
An estimated 9,400 jobs in indirect growth will occur as a result of the VW plant, University of Tennessee estimates show.
A Manchester, Tenn., manufacturer has been hired to make door panels for the VW sedan made at the Chattanooga factory.
M-Tek Inc., a subsidiary of the Japanese automotive parts maker Kasai Kogyo Co. Ltd., will be paid up to $147 million to supply interior parts for the new VW vehicle over its expected life, said Frank Fischer, chief executive of VW’s Chattanooga operations. Howard Tucker, corporate senior manager of human resources for M-Tek, said his company expects eventually to locate a final assembly plant in Chattanooga.
Mr. Tucker said the Volkswagen contract probably will involve 60 to 70 employees, including a 20-employee operation to be built in Chattanooga.
“The VW contract is very important to us,” he said.
There are plenty of other automotive suppliers eager to do business with VW, and many of them will need workers with training.
Martha Eaker, president of the Catoosa County Chamber of Commerce, said North Georgia is positioned to take advantage of the jobs.
“Historically, about 70 percent of our people go across state and county lines to work,” she said. “A large percentage go to Hamilton County.”
She cited Northwestern Technical College, Chattanooga State Technical Community College, the University of Tennessee at Chattanooga and Dalton State College.
“We have the educational facilities to train them, to get them ready if they’re not already ready,” she said.
Staff writer Dave Flessner contributed to this story.
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