Published: Tue, November 14, 2017
Business | By Max Garcia

Gov. Edwards to make major economic development announcement

Gov. Edwards to make major economic development announcement

Landrieu, Edwards and DXC executive vice president Stephen Hilton announced the plans at a news conference at the Superdome.

The Louisiana governor is expected to make one of the most significant economic development announcements in the state's history Monday. DXC Technology's decision to locate its Digital Transformation Center in New Orleans will no doubt propel our city to a new level of prominence and give rise to additional business attraction in New Orleans.

Tech sector jobs are among the highest paying and highly sought after. The city's last "win" with General Electric followed gains with Gameloft and IBM, among others.

DXC was formed in April by a merger between CSC and Hewlett's Enterprise Services business. The company says it serves almost 6,000 private and public sector clients in 70 countries and employs 155,000 people. "DXC Technology could not have made a better selection than to choose New Orleans for their Digital Transformation Center, and we embrace the challenge of preparing our best and brightest students for this remarkable opportunity".

Hecht and business groups have pitched New Orleans as a "low cost, high culture alternative" to other tech cities - particularly as companies look to cut down on labor costs by moving to relatively "cheaper" areas where cost of living also is "cheaper" compared to saturated tech hubs. And the state is happy to oblige.

The Tysons Corner, Virginia-based company will open a new center downtown - leasing as much 300,000 square feet of office space and hiring the 2,000 workers over the next seven years, through 2024, according to the report.

The state economic development agency said incentives to land the company included almost $19 million in grants payable over five years. Those grants include a $15 million flexible performance-based grant, a $2.2 parking assistance grant, and a $1.5 million demolition grant.

"This is an historic economic development achievement for our state", Edwards said.

Like this: