Governor Pat McCrory and North Carolina Commerce Secretary Sharon Decker announced that Gildan Yarns, LLC, a subsidiary of Gildan Activewear Inc., will expand its existing yarn spinning manufacturing facilities in Bladen and Rowan counties and establish a new yarn spinning facility in Davie County.
The company confirmed it will invest in excess of $250 million to build a yarn spinning facility behind its Salisbury location, which is currently under construction, and another one in Mocksville, as well as to expand and renovate its Clarkton location. With these projects, Gildan expects to create more than 500 new jobs in North Carolina by the end of 2016.
“Apparel manufacturers like Gildan are further investing in North American operations and North Carolina is just the place for their company to succeed with that,” said Governor McCrory. “The additional skilled manufacturing jobs that they’ll create will strengthen the economy of these counties and demonstrates the strong talent pool and attractive quality of life that characterizes this region of the state.”
Gildan is a leading supplier of quality branded basic family apparel, including T-shirts, fleece, sport shirts, socks and underwear. The company sells its products under a diversified portfolio of brands, including the Gildan®, Gold Toe® and Anvil® brands and brand extensions. The company distributes its products in printwear markets in the U.S. and Canada, where Gildan® is the industry-leading brand, and the company is increasing its penetration in international printwear markets. Gildan is also one of the largest suppliers of branded athletic, casual and dress socks for a broad spectrum of retailers in the U.S., and is developing Gildan® as a consumer brand for underwear and activewear. Gildan has over 33,000 employees worldwide and is committed to industry-leading labor and environmental practices in all of its facilities.
“Gildan® is a strong national brand and we’re proud of the footprint they have throughout North Carolina,” said Secretary Decker. “We appreciate the Gildan management team for renewing their commitment to North Carolina and know they’ll find the quality workforce they need to succeed.”
“Our investments in our yarn spinning operations will support our projected sales growth and further reinforce our position as a global low-cost manufacturer. The state-of-the-art product technology to be used in these facilities will continue to differentiate the product quality of Gildan® branded products,” stated Gildan Yarns President Chuck Ward. “The State of North Carolina provides us with a qualified textile workforce, competitive energy rates and a good transportation network, which are all central to our expansion projects.”
Salaries for the new positions will vary by job function, but the average annual salaries will exceed $32,270, plus benefits.
“The expansion and reinvestment of Gildan Yarns is another example of why so many companies choose to grow with us right here,” said Senator Andrew Brock. “Davie County offers a talented pool of skilled workers, and we offer a strong business climate that businesses need for job growth.”
“I am committed to creating new jobs in both Davie County and across North Carolina and one of my top areas of focus is manufacturing,” said Representative Julia Howard. “I commend the Gildan management team for their commitment to reinvesting in North Carolina and welcome them to Davie County.”
The project was made possible in part by an award to Gildan Yarns from the state Job Development Investment Grant (JDIG) program, as voted by the state Economic Investment Committee. Receipt of the award is based on proof of job creation and other performance requirements. JDIGs are awarded only to new and expanding businesses and industrial projects whose benefits exceed the costs to the state, and which would not be undertaken in North Carolina without the grant.
Under the terms of the company’s JDIG award, Gildan is eligible to receive up to 12 annual grants based upon 50 percent of the state personal income tax withholdings from the eligible new jobs created since the date of the initial award. Receipt of each annual grant is based on state-certified proof that the company has fulfilled incremental job creation and maintenance requirements. Over 12 years, the JDIG award could yield aggregate benefits to Gildan of up to $3.49 million upon creation of 501 new jobs.
In addition, up to $617,000 in funds from the company’s JDIG award could be added to the state’s Utility Fund for infrastructure improvements in economically distressed counties. When a JDIG is awarded to a company whose site is located in the state’s more economically prosperous counties, 15 percent of the company’s grant is allocated to the Utility Fund to encourage economic development in less prosperous counties. For more information on the county tier designations, visit: http://www.nccommerce.com/research-publications/incentive-reports/county-tier-designations.
Other partners who assisted with this announcement include: the N.C. Department of Commerce, N.C. Community Colleges, N.C. Department of Transportation, Golden LEAF Foundation, Rowan County, Bladen County, Davie County, Town of Mocksville, Town of Clarkton, Town of Granite Quarry, Salisbury-Rowan Utilities, Duke Energy, RowanWORKS Economic Development, Davie County Economic Development Commission and EnergyUnited.