Business

Now hiring: IBM subsidiary to add 600 jobs in RTP

Posted July 8, 2010
Updated July 9, 2010

— A subsidiary of IBM (NYSE: IBM) is going to create 600 jobs in Research Triangle Park.

IBM Lender Business Process Services is going to open a process service center.

Gov. Bev Perdue made the announcement Thursday afternoon.

"We plan to begin hiring staff immediately," an IBM spokesperson told WRAL's Renee Chou. "We will begin operations after implementation planning activities, including all required staff training, have been completed."

IBM already has work for the new employees.

"Employees in the new center will perform various business process outsourcing activities for financial industry clients," the spokesperson said.

IBM already employs some 10,000 people in the Triangle area.

Average pay will be $50,000 per year plus benefits, according to Perdue.

IBM will invest $3.7 million in the facility.

The jobs will be created over two years.

The IBM subsidiary provides technology and business process solutions for lenders.

“The new services operation furthers our commitment to the state of North Carolina and our ongoing presence in Research Triangle Park,” said Bob Greenberg, senior state executive for IBM in North Carolina, in a statement.

“These skilled positions, coupled with our investment earlier this year in an energy-efficient cloud-computing data center, demonstrate that as the marketplace demands new skills and technology, growth opportunities in North Carolina continue to be a hub of activity,” he added.

North Carolina provided a state Job Development Investment Grant as an incentive to IBM. The so-called JDIG would provide a rebate of 65 percent of state withholding taxes for the new jobs and could be worth as much as $7.79 million over 10 years if job goals are met.

IBM subsidiary to add 600 jobs in RTP IBM subsidiary to add 600 jobs in RTP

“IBM has been a major employer in North Carolina, providing thousands of skilled jobs for more than 30 years,” Perdue said. “We value this company’s ongoing commitment to North Carolina and Research Triangle Park.”

In 2008, IBM decided to expand its a mortgage-processing center in Charlotte and hire 600 workers over the next four years.

IBM said it would invest $2.4 million in the new center, which will include a “mortgage academy” for employee training.

The state helped land the facility with a Job Development Investment Grant. If IBM creates all the jobs called for in the JGID agreement, it would receive more than $9.7 million in tax rebates based on workers’ wages.

The center is also part of IBM Lender Business Process Services. The group already had 68 people based at its headquarters in Charlotte when the 2008 expansion was announced.

In February, IBM opened the new $360 million RTP data center.

The data center in IBM’s largest worksite in the world is designed to support companies moving into cloud computing, where the operating and other software are stored at a remote site and used as needed instead of stored on a user’s computer.

The 60,000 square-foot center serves as a showcase through which IBM offers “cloud computing” capabilities and other services. Another 40,000 square feet of space is available for future expansion.

IBM estimated 10 new jobs will be created to man the facility.

Big Blue chose to build the center in the Triangle due in part to $750,000 in economic incentives provided by Durham County.

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  • iworkandpaytaxes Jul 12, 2010

    How come only 4 people showed up for the farming jobs the illegals are willing to give up? I thought people needed work and illegals were stealing the jobs.

    http://answers.yahoo.com/question/index?qid=20100625041508AA5oQOY

    Anyone here taking the challenge? Of course not!!

  • pirate09 Jul 9, 2010

    abrcromben how did you know? haha

  • nerdlywehunt Jul 9, 2010

    Why is the government subsidizing the creation of jobs.........I am sick of bribing companies to come here. ENOUGH already!!!!!! The jobs won't be here 3 years from now..........they will prove all the concepts and set up the systems and then outsource it like all the rest.

  • pappybigtuna1 Jul 9, 2010

    This country has the best technology and technicians in the world, IBM has a track record of using this talent to build and debug the most complex electronic equipment. Then when it is safe they will send it over to the foreign countries to manufacture as they have done in the past. Twilling my finger upwards in jubulation

  • Hevans1012 Jul 9, 2010

    Happy that 600 jobs are coming to RTP! Now IBM how about you bring back some of those jobs that were outsourced overseas and put more American's back to work?

  • bluegrass Jul 8, 2010

    Great to see IBM bringing more jobs into RTP during tough times.

  • NotFromHere Jul 8, 2010

    IBM makes these deals to get money out of the state. They will lay off many times the 600 people they will ever hire for this new function. Just ask the people of NY. IBM got huge tax breaks on a packaging plant near Binghampton, NY and at the same time cut thousands in the Poughkeepsie area.

  • jet2rdu Jul 8, 2010

    The story said: "North Carolina provided a state Job Development Investment Grant as an incentive to IBM."

    Sorry, but it is the taxpayers on NC who will provide the incentive to IBM. Now, if we can get IBM to agree to provide these jobs only go to US citizens and not H1B Visa holders ,I would be more comfortable with the state of NC's agreement with IBM for the tax breaks.

    Too many IBM US jobs have gone to IBM, that is India, Brazil, MainlandChina.

  • mamabearprotectinghercub Jul 8, 2010

    That is good that they are creating jobs, lets hope that all goes well so they can get the jobs.

  • smegma Jul 8, 2010

    600 positions to be rotated in and out every 3 months, depending on stock values for the executives

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