To Tom Friedman and Paul Otellini from an unemployed Arizonan: STFU

[Hello_Kitty]

http://www.nytimes.com/2010/03/03/opinion/03friedman.html?em

These local incentives matter because smart, skilled labor is everywhere now. Intel can thrive today — not just survive, but thrive — and never hire another American. Asked if his company was being held back by weak science and math education in America’s K-12 schools, Otellini explained:

“As a citizen, I hate it. As a global employer, I have the luxury of hiring the best engineers anywhere on earth. If I can’t get them out of M.I.T., I’ll get them out of Tsing Hua” — Beijing’s M.I.T.

Well isn't that special?

Intel maintains large manufacturing facilities in Arizona. For over 20 years AZ has gone out of its way to provide the company with a welcoming climate. We've given them choice land and water (semiconductor manufacturing uses a ginormous amount) and a plethora of tax breaks. One such break was a thing called Sales Factor Reform. In 2005, Intel threatened to move a massive plant expansion to Oregon or overseas if Arizona didn't restructure corporate sales taxes for manufacturing plants over a certain size (basically, Intel) such that their state sales tax burden was reduced over 95%. Intel used to pay a minuscule percentage on every chip manufactured in AZ sold anywhere in the world. The legislation changed the formula so that Intel only paid taxes on chips sold in Arizona. That change is costing our state $100 million for the period that the law is in effect. The threat that Intel would move was bullshit on its face because the plans were made years in advance and contracts were set but they caved in anyway. Lobbyists for Intel have also pleaded with our state lege to reduce a host of taxes that affect rich people and corporations.

Arizona has the highest per-capita deficit in the nation and our schools are facing massive cuts, despite already being among the lowest funded in the nation. Every state agency is facing massive cuts. I expect that in the near future Intel will decide to close up shop in AZ because, well, our schools and infrastructure suck. He and former Intel chief Craig Barrett are constantly bleating about the need for more foreign visas, since American, and especially Arizonan, kids suck at math and science. When I worked there I remember how they used to try to get employees to join their PAC. The PAC's priorities were things like tort reform, protection from anti-trust suits, union-busting, and preventing having to report stock options as expenses.

Craig Barrett has a really nice mansion in Scottsdale, BTW. Don't know what kind of digs Otellini has, but I'm sure they're swell too. Friedman's crib is legendary.