On Oct. 28, Gov. Josh Stein announced two new projects that would bring jobs to North Carolina. Fortune 500 insurance company Pacific Life has been announced in Mecklenburg County, and BorgWarner Inc., a global mobility solutions company, has been announced in Henderson County. Both projects are funded in part by a Job Development Investment Grant (JDIG).
“JDIGs have a long history of overpromising and underdelivering, with many projects failing to meet their job targets,” Joseph Harris, fiscal policy analyst for the John Locke Foundation, told the Carolina Journal. “Politicians get to celebrate ribbon cuttings, but companies often fail to follow through. Specifically, out of nearly 450 agreements from 2003 to 2024, more than 200 were withdrawn or terminated before firms reached their hiring goals. And the trend is worsening — 52 of those failures occurred in just the past three years, from 2022 to 2024. North Carolina would be better served by lowering tax burdens for all businesses rather than gambling on a few hand-picked corporations.”
BorgWarner
The US-based mobility solutions manufacturer has pledged to invest $74.9 million in Henderson County, creating 193 new jobs through its manufacturing facility.
“I am pleased that BorgWarner will deepen its roots in western North Carolina,” said Stein in a press release.“This decision reaffirms our ranking as the best state to do business, highlights our thriving automotive industry, and invests in our manufacturing economy in western North Carolina at a time when it’s sorely needed.”
The new manufacturing facility will be the company’s second facility in the state. The 220,000 sq ft facility is adding to the company’s 84 locations worldwide.
“BorgWarner is proud to continue to invest in the state of North Carolina to bring an exciting new technology to market and provide jobs to local residents,” Joseph F. Fadool, president and CEO of BorgWarner Inc., said in a press release. “We appreciate the grant and continued support from the state of North Carolina to expand our manufacturing footprint here in the United States.”
The average salary for the almost 200 new jobs the facility promises to bring will be $78,628. In Henderson County, the average salary is $51,565. This represents a salary increase of $27,000, resulting in an annual payroll impact exceeding $15 million.
Over the 12-year grant period, the project is projected to add approximately $583 million to the state’s economy. According to a formula that accounts for increased tax revenue from new jobs and capital investments, the JDIG agreement permits potential reimbursements to the company of up to $1,786,500, distributed over 12 years.
Pacific Life
Pacific Life has committed to investing $12.3 million in Mecklenburg County to establish a new office in Charlotte, creating 301 new jobs.
“Companies like Pacific Life know they can find the deep pool of specialized talent they need in North Carolina,” said Stein in a press release. “Charlotte’s national reputation as one of the nation’s top financial services centers continues to attract great companies to our state. We’re proud to welcome Pacific Life.”
The company’s Charlotte project will occupy a 68,000-square-foot, three-story office at the Queensbridge Collective in the city’s central business district, with a complete move-in planned for 2028, according to the press release. The location will feature a fitness and wellness center, a one-acre outdoor green space, diverse retail and dining options, and proximity — just one block — to a light rail station. Until then, the company will operate from temporary office space nearby.
“Attracting and developing leading talent is central to Pacific Life’s growth strategy,” Darryl Button, president and CEO of Pacific Life, said in a press release. “Charlotte is home to a thriving workforce, and we look forward to welcoming new talent to the Pacific Life team to help drive our long-term success. This expansion effort was a true partnership between many in North Carolina, and we want to thank Governor Stein, the North Carolina Department of Commerce, and the Economic Development Partnership of North Carolina for all their efforts and support in the decision-making process.”
The average salary for new positions will be $176,250. The average salary in Mecklenburg County is $86,830. This is more than double the average salary for Mecklenburg County, resulting in an annual payroll impact of over $53 million.
Over the 12-year duration of the grant, the project is projected to add $2.1 billion to the state’s economy. Based on a formula that accounts for the tax revenue generated by new jobs and capital investment, the JDIG agreement authorizes potential reimbursements to the company of up to $5.54 million, distributed over a 12-year period.
State payouts for both projects will occur only after the North Carolina Department of Commerce has confirmed that the company’s performance has met the incremental investment targets and job creation goals.
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