Microsoft to invest $23 million in Charlotte
Raleigh, NC (STL.News) Microsoft Corp. (NYSE: MSFT), a technology company, will create 430 new jobs in Mecklenburg County, Governor Roy Cooper announced today. The company will invest $23 million to expand their operations in Charlotte.
“Global companies like Microsoft can choose anywhere in the world to expand, and again a highly recognizable brand has decided North Carolina is the right fit,” said Governor Cooper. “Today’s announcement means the company and Mecklenburg County will grow stronger because of this investment in the campus and the people around it.”
Microsoft is a technology company that enables digital transformation for the era of an intelligent cloud and an intelligent edge. Its mission is to empower every person and every organization on the planet to achieve more.
“The opportunity that we have to grow our base and our talent in North Carolina is an exciting one,” said Reggie Isaac, Microsoft Charlotte campus director. “Microsoft is pleased to be empowering customers, partners, and employees in the Charlotte area and looks forward to the prospects ahead.”
“North Carolina is one of the most rapidly growing technology sectors in the country,” said North Carolina Commerce Secretary Anthony M. Copeland. “As a leader in IT talent, research, and development, North Carolina is a smart choice for Microsoft’s expansion and new ventures.”
The North Carolina Department of Commerce led the state’s support for the company’s decision.
Although wages will vary depending on the position, the average for all new positions could reach up to $98,711. The current average annual wage in Mecklenburg County is $66,709.
Microsoft’s project in North Carolina will be facilitated, in part, by a Job Development Investment Grant (JDIG) approved by the state’s Economic Investment Committee earlier today. Over the course of the 12-year term of this grant, the project is estimated to grow the state’s economy by nearly $1.9 billion. Using a formula that takes into account the new tax revenues generated by the 430 new jobs, the JDIG agreement authorizes the potential reimbursement to the company of up to $7,910,250, spread over 12 years. State payments only occur following performance verification by the departments of Commerce and Revenue that the company has met its incremental job creation and investment targets. JDIG projects result in positive net tax revenue to the state treasury, even after taking into consideration the grant’s reimbursement payments to a given company.
Because Microsoft chose to expand in Mecklenburg County, classified by the state’s economic tier system as Tier 3, the company’s JDIG agreement also calls for moving as much as $2.6 million into the state’s Industrial Development Fund – Utility Account. The Utility Account helps rural communities finance necessary infrastructure upgrades to attract future business. Even when new jobs are created in a Tier 3 county such as Mecklenburg, the new tax revenue generated through JDIG grants helps more economically challenged communities elsewhere in the state.
“The addition of 430 new tech jobs is a vote of confidence for our region,” said N.C. Senator Jeff Jackson. “We have a strong pipeline of talent in Mecklenburg County who are ready to support Microsoft’s expansion and new operations.”
“An investment of this magnitude is a win for the entire state,” said N.C. Representative Chaz Beasley. “Microsoft’s continued investment in our state signifies our ability to deliver a strong business climate and a great quality of life that successful tech companies need.”
In addition to N.C. Commerce and the Economic Development Partnership of North Carolina, other key partners in the project include the North Carolina Community College System, Mecklenburg County, City 0f Charlotte, and the Charlotte Regional Business Alliance.