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How much might Carrier save by moving to Mexico?

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Posted at 4:24 PM, Feb 25, 2016
and last updated 2016-03-04 15:53:42-05

INDIANAPOLIS -- When Carrier announced that it was relocating 1,400 jobs from Indianapolis to Monterrey, Mexico, the president of HVAC Systems and Services North America said the move would allow the company to operate more cost effectively.

But just how much could the company save? We did a little number crunching with information from the president of United Steelworkers 1999.

He says Indianapolis employees make about $34 per hour with salary and benefits, while workers in Mexico will make an average of $6 per hour with salary and benefits. 

RELATED | President of United Steelworkers Union: No hope of saving 1,400 jobs

If you do the math, that is $30 per worker per hour of savings and $1,120 in savings per worker per week, which equals $58,240 in savings per year. If you multiply that total by the 1,400 workers in Indianapolis who will no longer be employed by Carrier, that's an estimated $81 million in savings per year. 

However, Call 6 Investigates has learned that the business will actually save up to $10 million with salaries, benefits and retirement tied to Indianapolis employees. They could also save money because two of their Monterrey plants are energy efficient. 

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FULL COVERAGE | 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 | Pence to review Carrier's plans to move to Mexico | TRUMP: Carrier should be taxed for their goods after move to Mexico | Hogsett, Donnelly meet with Carrier workers | City, state stepping in to help Carrier employees | Indiana leaders ask Carrier for a meeting to try to keep the plant, jobs in the state | 

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