The jobs grant that Nashville offered to tech giant Amazon goes to a key vote Tuesday night at the Metro Council.
The company promises to create 5,000 high-paying jobs at a new operations center downtown. The city is considering a total incentive of $17.5 million.
But Amazon will have to prove it’s delivering on its promise before getting paid. Here’s how the city grant would work.
Jobs First, Then Payment
The grant isn’t a lump sum handed out all at once.
If approved, Metro would give Amazon $500 for each new job it can document over a 7-year period. Once each year, the company would provide the city with a tally of the jobs.
Of note, Amazon would get to choose when that timeframe begins. The company could wait until all are hired and then start collecting, which would push the total over $17 million.
If Amazon wanted the funds sooner, even at less then full staff, that option is allowed.
There’s also no cap if the company creates more than 5,000 jobs.
For any of the positions to qualify for the $500 grant they must meet certain criteria, including that the employee works at least 36 hours per week and for 26 weeks.
In a recent summary document given to Metro (see PDF), Amazon says the bulk of the Nashville jobs — 3,000 — would be in business and financial operations.
Another large chunk is marked as “computer and mathematical.”
The company’s new pair of office towers would also house managers, lawyers and other administrative staff.
The company says the average salary would be over $150,000.