Model Plant Size: 50 production workers, NAICS 3261
Study Size: 16 states. Besides Nebraska, these states include those that currently have the largest production in the industry as well as other states near Nebraska with which it typically competes for industrial location projects.
Advantages: Compared to the 15 alternative states, Nebraska is found to offer an annual savings of $193,073 in labor-related costs, which is 8.8 percent less than the average labor costs for the other states.
This study also concludes that a Nebraska plant location offers a significant energy cost advantage. Electric rates in the alternative states average 61.7 percent higher, and the average industrial gas rate is 20.1 percent more. Combining these advantages, Nebraska's energy cost for the model plant is 35.3 percent lower than the average for the other 15 alternative locations.
Together, Nebraska's annual labor and energy costs for the model plant are $362,082 less (or 13.6 percent less) than the average costs for the 15 alternative states. Conversely, the average labor and energy costs in the other 15 states are 15.7 percent more than the Nebraska labor and energy costs.
Food Processing Study
(May 2007) Generally applicable for the Food Processing industry as a whole (NAICS 311), Approx. 47 pages.
Model Plant Size: 50 employees, NAICS 311
Study Size: 16 states. Besides Nebraska, these states include those currently having the largest production in the industry as well as other states near Nebraska with which the state typically competes for industrial location projects.
Advantages: If located in Nebraska, the model plant has a significant labor cost advantage over most of the alternative locations. When compared to the average labor costs for the 15 alternative locations, Nebraska's annual labor cost advantage is $348,027 or 13.9 percent lower.
Electric rates in the 15 alternative states average 60.2 percent above those in Nebraska. The average industrial gas rate in the other locations is 15.3 percent more than the Nebraska rate. When compared to the average total energy annual cost for the other plant sites, the energy cost for the Nebraska model plant is 27.1 percent lower, translating into an average annual savings of $115,855.
The combined annual labor and energy costs for Nebraska are $463,882 lower than the average of the other locations, or 15.8 percent less than the average annual labor and energy costs for the 15 alternative states.
Manufacturers of Fabricated Metal Products Study
(June 2007) Generally applies to NAICS 332, Fabricated Metal Product Manufacturing subsector, Approx. 39 pages.
Model Plant Size: 50 production workers, NAICS 332
Study Size: 16 states. Besides Nebraska, these states include those that currently have the largest fabricated metal product subsectors as well as other states near Nebraska.
Advantages: Compared to the 15 alternative states, Nebraska is found to offer an annual savings of $341,709 in labor costs or 14.2 percent below the other states' average. In addition, the analysis finds that Nebraska offers significant energy cost savings.
Electric rates in the alternative states average 75.5 percent higher, and the average industrial gas rate is 20.3 percent higher. Combining these advantages, Nebraska's energy cost for the model plant is 33.9 percent lower.
Together, Nebraska's annual labor and energy costs for the model plant are $451,000, or 16.5 percent less than the average costs for the 15 alternative states. Conversely, the average labor and energy costs in the other states are 19.7 percent higher than the labor and energy costs for the Nebraska plant site.
Manufacturers of Industrial Machinery & Equipment Study
Study Size: 17 locations including states that currently have significant production of industrial machinery and equipment products as well as surrounding states with which Nebraska typically competes for industrial location projects.
Advantages: The Nebraska annual labor cost advantage ranges from an annual savings of $234,980 (or 13.0 percent) compared to the average labor costs for the 16 alternative plants sites, to a high of $721,820 when compared to the Michigan plant site. Electric rates in the 16 alternative states average 41.8 percent above those in Nebraska. The average industrial gas rate in the other locations is 26.5 percent above the Nebraska rate. Together, Nebraska's annual labor and energy costs for the model plant are $276,060 less than the average costs for the 16 alternative states. Conversely, average labor and energy costs for the 16 alternative plant sites are 16.3 percent more than the Nebraska labor and energy costs.
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