Energy Recovery Inc., primarily a maker of desalination technology, is consolidating its North American operations at its headquarters and production center in San Leandro, the company announced Wednesday.
ERI plans to move its manufacturing operations currently located in Detroit, Michigan to San Leandro, bringing some two dozen jobs, the San Jose Mercury News reports. Half of the jobs would be local hires, according to the paper.
"We will be building an additional manufacturing line in San Leandro," Thomas Rooney, Energy Recovery's chief executive officer, told the Mercury News.
He said all products now made in Michigan would be made in San Leandro by the end of the year.
The company expects the move will cost $4.7 million, but will result in recurring cost savings of around $3 million annually starting next year.
What's interesting is the annual savings. Just think if there were lower regulations & energy costs here, how many businesses could move. It's not like Detroit is high cost (but it is high regulation).