11/18/2009
CenturyLink Announces Major Headquarters Expansion, 350 New Jobs
MONROE, La. -- Today, Gov. Bobby Jindal and CenturyLink CEO and
President Glen Post announced an agreement that will maintain
CenturyLink's corporate headquarters in Louisiana and add 350
Louisiana-based jobs over the next four years. The governor made
the announcement following a meeting with CenturyLink's board of
directors. Over the last several months, Gov. Jindal and his
economic development team have been working with CenturyLink
executives to establish a plan that would ensure the long-term
competitiveness of the company in Louisiana.
Gov. Jindal said, "Today's announcement is a huge win for Monroe
and Northeast Louisiana -- and it caps off an historic year of job
creation in Northeast Louisiana. CenturyLink has been one of our
state's top private-sector employers for many years, which is why
we worked aggressively after the announcement of the merger to
develop a comprehensive support plan to ensure that CenturyLink
will stay and grow right here for many years to come. Today, we're
announcing a new partnership that will not only retain CenturyLink
in Louisiana for the long term, but will also create more
opportunity for the people of Northeast Louisiana so they can find
rewarding careers and pursue their dreams right here at home."
In July 2009, CenturyTel acquired Kansas-based EMBARQ to create
an industry leading communications provider -- a company with an
expanded suite of products and solutions for its customers and
communities, as well as greater financial strength and stability.
Immediately after the merger was announced, and to ensure that the
headquarters remained in Louisiana, Gov. Jindal called for
Louisiana Economic Development to engage company executives to
develop a support plan to retain and grow CenturyLink employment in
Louisiana.
Now the fourth-largest local exchange telephone company in the
United States and Louisiana's third Fortune 500 company,
CenturyLink has more than 7.1 million access lines and more than
2.1 million broadband customers and 20,000 employees in 33 states.
The company is a leading provider of high-quality voice, broadband
and video services with advanced communications networks reaching
consumers and businesses.
"The merger with EMBARQ is a defining event in our company's
history," said Post. "Our growth opportunities across the nation
and here in Louisiana represent an exciting future for our company
and our employees. The state has stepped up to make Louisiana more
business friendly; and we appreciate their efforts and the
incentives being put forth today and in the years to come. Our
people are the engine that drives our success, and we will continue
to add jobs and training to enhance the quality of our
workforce."
Under the terms of today's agreement, CenturyLink has committed
to increase its Louisiana workforce by adding at least 100 jobs in
2010, an additional 150 in 2011, and 50 in each of 2012 and 2013.
The agreement requires that the newly added jobs will be maintained
through at least 2019 with an average compensation of at least
$45,000, plus benefits. The agreement also calls for CenturyLink's
corporate headquarters to remain in Louisiana through at least
2019, with incentive reimbursements being owed should that not be
the case.
In addition to the new direct jobs, this expansion is also
expected to lead to the creation of more than 520 new, permanent
indirect jobs. In the next 10 years, LED estimates that the
expansion will generate $20.3 million in new state tax revenues and
$13.5 million in new local tax revenues, excluding the value of any
new property taxes.
In total, Gov. Jindal has announced economic development wins in
Northeast Louisiana that have a total direct and indirect impact of
more than 10,000 jobs and more than half a billion dollars of
capital investment.
"When the merger was announced, we saw it as an exciting
opportunity for CenturyTel, but also as a potential threat to the
company's professional employment in Louisiana," said LED Secretary
Stephen Moret. "Typically mergers are expected to generate
operating synergies that often lead to job losses. Accordingly,
Gov. Jindal charged us with assembling a team to work with
CenturyLink executives on a plan to enhance the combined company's
long-term competitiveness in Louisiana while also increasing its
professional employment in our state."
The company will receive performance-based assistance from the
Rapid Response Fund of up to $5 million over four years for
personnel relocation costs and integration expenses associated with
creating the new jobs, as well as up to $600,000 over two years to
defray air transportation expenses associated with the merger. The
company also is expected to take advantage of the Quality Jobs
Program, as well as to continue taking advantage of the Tax
Equalization Program.
With funding support from the state of $300,000 per year for the
next three years, Louisiana Tech University will establish the
Clarke M. Williams Professorship in Telecommunications and will
collaborate with CenturyLink to plan and design courses to serve
the advanced education needs of the company's workforce. The goal
of this effort will be to establish a certificate program that will
build upon the prior education and training of the employees and to
provide them with the skills needed for success in further
professional and technical development. It is anticipated that the
certificate program will include both business and technical
courses.
Clarke M. Williams, CenturyTel's founder, began managing the
family owned Oak Ridge Telephone Company in 1946. Through the
decades, he grew the communications company into the former
CenturyTel, now CenturyLink. From 1946 until his death in 2002,
Williams served as both the inspiration and an example of true
leadership for the employees of CenturyLink and the citizens of
Louisiana.
About CenturyLink
CenturyLink is a leading provider of high-quality voice,
broadband and video services over its advanced communications
networks to consumers and businesses in 33 states. CenturyLink,
headquartered in Monroe, La., is an S&P 500 company and expects
to be listed in the Fortune 500 list of America's largest
corporations. For more information on CenturyLink, visit www.centurylink.com.
