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Carrier releases details about agreement with Trump administration to stay in Indiana

Posted at 5:33 PM, Nov 30, 2016

INDIANAPOLIS -- Carrier released new details Wednesday about their deal with President-elect Donald Trump's incoming administration that will keep over 1,000 jobs at their Indianapolis factory.

Trump and Vice President-elect, Governor Mike Pence will visit the Carrier plant on Thursday to outline the details of their negotiations. The event is not open to the public, but will be available at or on our Facebook page.

In their statement released Wednesday afternoon, Carrier said they have negotiated an agreement they believe will benefit their workers, the state of Indiana and the company. 

The company announced they will continue to manufacture gas furnaces in Indianapolis as well as their engineering and headquarters staff which will keep more than 1,000 jobs in the state. 

Union leaders also announced on Wednesday evening that they would be meeting with company executives on Thursday before Trump and Pence are scheduled to arrive at the facility. 

Carrier's full statement:

Carrier has had very productive conversations in recent days with President-elect Trump and Vice President-elect Pence.

We have negotiated an agreement with the incoming administration that we believe benefits our workers, the state of Indiana and our company.

We are announcing today that Carrier will continue to manufacture gas furnaces in Indianapolis, in addition to retaining engineering and headquarters staff, preserving more than 1,000 jobs.

Carrier will also designate its Indianapolis manufacturing facility as a Center of Excellence for gas furnace production, with a commitment to making significant investments to continue to maintain a world-class furnace factory.

Today’s announcement is possible because the incoming Trump-Pence administration has emphasized to us its commitment to support the business community and create an improved, more competitive U.S. business climate. The incentives offered by the state were an important consideration.

This agreement in no way diminishes our belief in the benefits of free trade and that the forces of globalization will continue to require solutions for the long-term competitiveness of the U.S. and of American workers moving forward.

Employees were cautiously optimistic prior to hearing the full details of the deal.

T.J. Bray, a union steward at Carrier, couldn't believe the news that his job could be saved, but is curious to learn the details.

"A lot of people are asking if we're going to be taking pay cuts," Bray said.

READ MORE | Carrier employees: "I'm still worried"

The company announced back in February that it would be moving roughly 1,400 of its jobs to Monterrey, Mexico, citing the ability to save money through lower wages. Some reports showed Mexican wages as low as $3 per hour without benefits, and $6 per hour with benefits.

The move was set to take place from 2017 to 2019. 

Reports surfaced earlier this week that Carrier and the Trump administration were in negotiations and on Tuesday evening both Trump and Carrier announced over social media that a deal had been reached. 

PREVIOUS | Donald Trump tweets about getting Carrier to stay in Indiana

Call 6 Investigates has learned that the 400 jobs that will move to Mexico are in the fan coil division, which produces electric furnaces. The largest chunk of jobs that are staying in Indianapolis produce gas furnaces. The factory produces about 10,000 furnaces per day.

Trump made frequent references to Carrier while campaigning for president, saying Carrier would not move if he were elected president and that if they did move, they would pay a 35 percent tax on imports to the United States.

PREVIOUS | Trump on Carrier: You're gonna pay a damn tax | CNN: Trump administration, Carrier now negotiating

"I will call the head of Carrier and I will say, I hope you enjoy your new building," Trump said. "I hope you enjoy Mexico. Here's the story, folks: Every single air conditioning unit that you build and send across our border – you're going to pay a 35 percent tax on that unit."

Carrier isn't the only Indianapolis company that was planning to move its jobs to Mexico. Rexnord Bearing will be moving some of its employees to Monterrey. Rexnord makes ball bearings and roller bearings.

FULL CARRIER COVERAGEDOCUMENTARY SERIES: Moving to Mexico with 1,400 of Indy's lost jobs Jilted workers get first look at Carrier's offer | TIMELINE: Carrier to ship 1,400 jobs from Indiana to Mexico Trump made money off of Carrier in 2015 | Carrier president: More growth expected in '16 | Ex-Carrier employee sentenced for embezzlement | Carrier pay in Mexico questioned | Carrier refutes offer of $5.85/hour for workers to stay in Indy | Coats, Donnelly have 'disappointing' meeting with Carrier execs |  Sen. Donnelly: Carrier never cited federal regulations as reason for move | Union president: 'We're not going away quietly' | Carrier employees protest move at statehouse | Pence on Carrier meeting: 'I don't want to create any false hope for people' Moving to Mexico: What you need to know about Monterrey, Mexico  | Moving to Mexico: On the ground in Monterrey, Mexico, where Carrier is moving  Trump weights in on Carrier relocation to Mexico  | Carrier: Company did not receive $5M in federal stimulus funds  | President of United Steelworkers Union: No hope of saving 1,400 jobs  | Carrier employees, local businesses reel after announcement of move to Mexico  | WATCH: Employees react to news that Carrier is moving from Indy to Mexico