Medical Device Manufacturer Invests in Memphis
While Memphis is knowns for its strengths in distribution and logistics, for the past twenty years Shelby County has emerged as the second largest county in the U.S. for medical device manufacturing. And since 1999, the Memphis medical device manufacturing industry employment has grown nearly 50%– more than four times the national rate of growth. Employment at medical device manufacturers ranges from assembly work at $27,000 a year to industrial engineering at $75,000 to sales representatives earning $93,000.
Capitalizing on Memphis’ distribution and logistics strengths, Onyx Medical LLC sought to expand its U.S. headquarters in Memphis. Onyx Medical is a contract manufacturer of precision medical devices. Onyx provides wires, guide pins, drills, and screws for the world’s leading orthopedic companies. The company has expanded multiple times in Shelby County in the past 25 years. Through a new ownership structure, the company now has sister operations in Sweden, Denmark, and China and is poised to expand considerably.
In March 2018, the EDGE Board awarded a nine-year Expansion PILOT to Onyx Medical that encourages the company to retain 116 jobs and create 30 new jobs. The company will also make more than $7 million worth of capital investment at the facility located at 1800 North Shelby Oaks Drive. Collectively, the average annual salary of the 146 employees is $54,939 excluding benefits. EDGE staff projects $6.4 million in local tax revenues to be received during the PILOT term with a $1.4 million benefit to Onyx Medical LLC.
“Onyx Medical is a prime example of high-value manufacturing firms leveraging Memphis and Shelby County’s strengths in distribution and logistics to gain a competitive advantage. The medical device industry has a demonstrated pattern of job growth and higher wage potential. The industry has the ability to move lower-skilled workers into valuable careers with high earnings potential,” said Reid Dulberger, President/CEO, EDGE.“To see existing medical device and affiliated firms expand here is encouraging. We are confident we can attract additional growth in this sector.”