MORRISVILLE – Credit Suisse’s big operations center in the Triangle is continuing to post open jobs even as its corporate parent is being absorbed by much bigger Swiss rival UBS after the international banking giant’s finances and stock collapsed over the last week.
“I wanted to let you know that we will continue to operate normally for the time being,” a source familiar with the matter told WRAL TechWire.
The center is a big linchpin for the Triangle’s private sector economy with many jobs paying near six figures. Jobs also continue to be posted at its website with more than 40 positions listed as of Monday morning.
The bank employs more than 2,300 people in the Triangle, according to documents provided to the North Carolina Department of Commerce.
Credit Suisse encountered financial problems last fall and announced plans to lay off some 9,000 workers. But to date the Morrisville operation has not been hit with any large cuts. No mass layoff notices have been failed with the state of North Carolina.
Big Triangle expansion
Credit Suisse has invested heavily in the Morrisville complex over several years. In 2017 the bank struck a deal for a $70 million investment that would create some 1,200 jobs and lead to $40 million in state income tax withholding rebates if terms of the expansion were met. That deal came after North Carolina’s so-called “HB2 bathroom bill” was repealed.
Last week at a meeting of the North Carolina Department of Commerce Economic Investment Committee, Credit Suisse submitted a report documenting how it had met most of the criteria required to receive a tax rebate.
Credit Suisse already had a presence in the state and was required to maintain at least 1,499 of those jobs. It actually kept 1,533.
Out of 1,200 new jobs targeted by the contract Credit Suisse added 883 positions.
Average wages of more than $89,000 were $9,000 on average more than the minimum Credit Suisse committed to.
The maximum target for pay was an average of just over $100,000.
The bank also invested more than $100 million in the project, higher than $70.5 million as contracted for.
Partial payment authorized
Because Credit Suisse came close or exceeded project goals, the EIC authorized a partial payment of the tax rebate of nearly $1.7m million, according to a copy of the agreement.
“In the paperwork I sent, you’ll see the company scored a 94.39% on their 2021 Compliance Rating. So yes, a payment can be made under those conditions, but it is a reduced amount from what the company could have received if 100% compliant,” a Department of Commerce spokesperson told WRAL TechWire.
“Under JDIGs criteria and guidelines — and also based on the actual tax withholdings available from those positions covered under the grant – grant payments can be made if the compliance rating is over 80%, and if it’s the first year out of compliance. If the company is out of compliance a second year, its grant is subject to termination. The program also provides some flexibility if the company is within its so-called base period (the recognized ramp up period for a project), which is also the case for this Credit Suisse grant,” the spokesperson added.
Of that amount some 25% or $456,000 was paid into the state utility fund as required by the fact the project was based in one of North Carolina’s top tier counties (Wake).