Plastics manufacturer Axium Plastics began operations Wednesday at its new Jefferson City factory.
Karamijt Sura, a manager at Axium Plastics Jefferson City factory, told the News Tribune the factory began initial operations Wednesday, less than 11 weeks after the company announced plans to build a 50,000-square-foot factory on the southeast side of Jefferson City, near existing Scholastic, Modern Litho and Morris Packaging plants. While a skeleton operation begins and construction finishes, the company continues to hire new employees as it ramps up production.
New Albany, Ohio-based Axium Plastics plans to hire 48 people initially. Jobs will pay an average of $34,583 in the first year of the factory's life, as higher paying managerial positions are hired, and then pay an average of $31,714 in year three, when more lower paying positions are hired.
"We started a few machines already," Sura said. "And we're working on it. We're going to start full operations within a few weeks."
More than a dozen cars were in a freshly paved employee parking lot outside the front entrance to the factory Thursday morning. Sura said the company continues to hire employees for packer and freight handling positions. He did not say how many positions still need to be filled.
Those interested can apply at the factory.
The factory opened less than eight months after the company made its first site visit to the Jefferson City Area Chamber of Commerce's spec building at 355 North Shamrock Road. Construction started in mid-June to turn the decade-vacant building into a plastics factory.
Axium Plastics makes plastic bottles for commercial use, including those used for 5-Hour Energy. The company employs 1,000 people across four other factories in suburbs of Toronto, Atlanta, Los Angeles and Columbus, Ohio.
Jefferson City beat out Kansas City, Chicago and St. Louis in its bid to lure Axium to town. The company was drawn to the city in part by the presence of Unilever, to which it will supply bottles.
Axium will receive two Chapter 100 tax abatements for moving into the building, which will equal about a $1.1 million tax abatement over 10 years. The abatements will include a 75 percent tax abatement on the real value of the property over 15 years and a 75 percent tax abatement on the value of personal property inside the buildings for seven years.
The chamber estimates Jefferson City, Cole County and the Jefferson City Public School District will receive a return of $1.9 million in tax revenue over that 10-year period. During just the first year, Axium will invest $14 million, which includes $10 million in machinery alone.
In an Aug. 4 news release, the company said it was excited to be coming to Jefferson City.
"We commend Jefferson City, Cole County, the Chamber of Commerce and their business partners for the effort they put forward during our selection process," Tammy Hoffman, Axium Plastics chief operating officer, said in the news release. "The benefits associated with this location made Jefferson City the best option for our manufacturing facility."