Wednesday, July 27, 2011

AmWay Takes Hostages to Squeeze Tax Abatements from Cities

Ada Michigan just gave a tax abatement to Dick DeVos's multi-level marketing scam AmWay to make sure they don't shutter a facility and put 100 local people out on the street in a sinking Michigan economy...

The board voted 5-1 Monday to grant a 12-year, 50 percent tax abatement to Amway's Access Business Group LLC for an estimated $9.66 million project to relocate from its Spauldinsave g Avenue facility to Amway headquarters at 7575 E. Fulton St. and expand capabilities of its shipping processes.

The approval is expected to the company an estimated $164,515 in real and personal property taxes the first year of the abatement.

Last year the company announced plans to shutter the Spaulding facility and cut up to 100 local production jobs. Some of those cuts were expected to be offset by consolidation of production into the headquarters campus from a facility being closed in California.

Even though AmWay posted its first $1 billion dollar month in its history:

ADA — One month, $1 billion in sales: Amway today announced it had reached that milestone for the first time in its 51-year history during June...


We are experiencing an intense period of growth, and with fluctuations that normally occur in our sales cycle, we expect that momentum to continue,” Bill Payne, executive vice president and chief of staff at Amway, said in a statement.

Looks like AmWay is pretty much just doing this to squeeze a few more tax abatements from the city and has no problems putting a gun to the head of its own employees to get it.

Same as it ever was.

Thanks Dick DeVos.

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