2000 new jobs from project

NEW YORK – An information technology services company formed this year from a merger involving Hewlett Packard Enterprise Co on Monday announced plans to establish a digital services center in New Orleans, bringing 2000 new jobs to the city.

Virginia-based DXC Technology Co will develop the center to create digital services for its global clients, which total nearly 6000 across 70 countries, the company said in a statement.

DXC was formed in April by a merger between CSC and Hewlett’s Enterprise Services business.

To secure the project, Louisiana offered DXC an $US18.7 million ($F38m) incentive package in performance-based grants payable over five years, according to a statement from Louisiana Governor John Bel Edwards’s office.

DXC shares closed up 0.9 per cent at $US96.80 ($F201) in trading on the New York Stock Exchange on Monday. The company plans to hire 300 employees in 2018, and over five years will create 2000 jobs in all, according to the governor’s statement.

The project is estimated to generate $US64.3m ($F133m) in new state taxes from 2018 to 2025, the statement said.

“These are permanent, direct jobs right here,” Mr Edwards said during a news conference on Monday. “That’s why it’s so exciting.”

A “vast majority” of the jobs will be new positions added to the company’s payroll, DXC spokesperson Rich Adamonis said in an email.

To meet the labour demand, Louisiana will fund a $US25m ($F51m) higher education initiative to increase the amount of degrees awarded in computer science, management and STEM-related studies.

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