Credit Suisse relocates 1200 jobs moving from Wall Street

8 years ago - Published in Finance, Fundamental Analysis

Credit Suisse USA said Tuesday it will expand its Research Triangle Park operations, creating 1,200 new jobs and spending $70.5 million on capital investments.

Eric Varvel, president and chief executive of Credit Suisse USA, said the company had planned to expand earlier in North Carolina, but held off because of House Bill 2, known as the transgender restroom law.

“While it was on the books, we chose to halt our expansion plans in the state and consider other options,” Varvel said. “We realize the recent repeal of HB2 contains some compromises, and while not perfect, it is an important first step that re-establishes the minimum conditions for us to expand our presence in the state.”
Financial firms Deutsche Bank and PayPal also canceled North Carolina expansion plans after House Bill 2 became law in March 2016. Other businesses and sporting events also shunned the state.

The bank had also considered the jobs announced Tuesday for Jersey City, New Jersey, according to documents reviewed by the state committee which approves large, discretionary tax breaks. With community college training and local sweeteners, Credit Suisse could get benefits of up to $44 million related to its North Carolina jobs.

The jobs moving from the bank's New York-area site or newly created in lower-cost North Carolina will include information technology, cyber-security, machine learning, finance, and other corporate functions, and pay an average salary of more than $100,000 a year.

The bank's jobs shift represents North Carolina's largest corporate expansion since MetLife Inc. said in 2013 that it would move 2,600 jobs from other states. The bank also has U.S. operations in Chicago, Houston, Los Angeles and San Francisco, and employs more than 45,000 in 50 countries focused on banking, investing and finance.
The Swiss bank is reorganizing operations and sharply reducing its workforce after two years of losses, cutting up to 6,500 jobs this year after slashing its overall headcount by 7,200 last year. The company is expanding in North Carolina as part of a restructuring that will result in the closing of operations in other states.

In the statement it said the jobs will contribute more than $100 million in salary per year over the next 10 years. The average wage in Wake is $53,783.