Jewelry insurance company chooses Raleigh

(The Center Square) – Raleigh beat out Dallas to land a $5.8 million jewelry insurance company technology project, the state of North Carolina announced Tuesday.

Wisconsin-based Jewelers Mutual Group chose Raleigh for the project because of the available talent pool, educational systems, quality of life, real estate costs and business and tax climate, the state said. The company was founded in 1913 and has a million customers, the state said.

Fifteen cities were on the company’s list of possible locations before being narrowed down to Raleigh and Dallas, according to a release.

Company and state officials say the project will create 200 jobs at an average salary of $169,562. The new employees will help create data-driven solutions for jewelry store customers.

"North Carolina is a hotbed of technology innovation, and I’m pleased to see a well-respected company like Jewelers Mutual recognize our strengths and decide to grow their business in our state,” Gov. Roy Cooper said in a statement. “Our existing pool of talented workers combined with North Carolina’s specialized worker training systems will help this company take their business to the next level.”

North Carolina’s Economic Investment Committee on Tuesday approved a $2.4 million job development grant that will be paid over 12 years as long as the company’s investment and job creation goals are met.

For every dollar in grants, the project is expected to create $2.56 in additional state revenue, the state said. With other assistance, including community college training, the company is eligible for $3.2 million in assistance, the state said.

In addition to state aid, the project is eligible for $150,000 in incentives from Wake County and the city of Raleigh.

“We’re excited to welcome a company with such a rich history as Jewelers Mutual to Raleigh and Wake County,” said state Sen. Lisa Grafstein, D-Wake. “The Research Triangle’s reputation for IT leadership is second to none and we’re the perfect location for any company seeking excellence in a technical endeavor.”

Incentives based upon new jobs businesses will bring to the state, announcing the average hourly wage for the new jobs and comparing it to the median hourly wage of the county.

Economists question the effectiveness of financial incentives to private businesses to expand or come to a new state.

The use of hourly wage as an indicator is questioned because salaries of a few corporate leaders can skew the average higher while it would not have the same impact on the median wage.