In January, DXC Technology began operating in temporary space at the then-Freeport McMoran Building across from the Mercedes-Benz Superdome. In the ensuing months, renovations for permanent space on the 14th Floor were completed and permanent brand signage was installed on the property prior to the dedication event. Eventually, DXC Technology expects to lease up to 10 floors of the 23-floor structure where Freeport McMoran remains a major tenant.
The arrival of DXC Technology, formed in April 2017 by the merger of CSC and the Enterprise Services Division of Hewlett Packard Enterprise, cements Louisiana’s position as one of the fastest-growing software and IT destinations in the U.S., following major projects by EA, CenturyLink, IBM, CSRA, CGI, GE Digital and others in the past decade. DXC will hire approximately 300 IT and business enterprise professionals during 2018, then ramp up to 2,000 jobs over five years and an annual payroll exceeding $133 million by 2025.
“Today’s milestone is another important marker for a project that will change the business landscape of New Orleans and our state,” said Gov. Edwards, who participated in a ribbon-cutting prior to touring the company’s offices. “In a rigorous competition for this Fortune 500 company’s largest Digital Transformation Center, our state succeeded because we offer an extraordinary city in its Tricentennial year and an exceptional higher education partnership. New Orleans, the state of Louisiana and DXC Technology will create an innovative path for great careers in the digital economy.”
For the project, the State of Louisiana is funding a $25 million higher education initiative to expand the number of degrees awarded annually in computer science, management, and STEM-related fields (science, technology, engineering and math). The Louisiana State University System, University of Louisiana System, Southern University System and the Louisiana Community and Technical College System will guide the initiative through their campuses. Patterned after prior software and IT initiatives in Louisiana, the DXC Technology project represents the state’s largest single higher-education investment in a private-sector workforce partnership.
The LSU Economics & Policy Research Group performed an economic impact analysis estimating the DXC Technology project will translate to $64.3 million in new Louisiana taxes, $868.4 million in new Louisiana earnings and total economic output of $3.2 billion from 2018 through 2025.
“We’re thrilled to officially launch our Digital Transformation Center in New Orleans, and we want to thank the State of Louisiana, the City of New Orleans and the leading educational institutions for their shared commitment and partnership,” said Executive Vice President Jim Smith, who oversees Customer Advocacy and Joint Ventures for DXC Technology. “The center is integral to our strategic growth objectives: delivering transformative digital IT services and solutions to our clients, and creating new opportunities for current and future employees. We remain on track with our hiring and growth objectives, and having this base of operations allows our local team to build on the progress we’ve already made.”
In addition to 2,000 new direct jobs, Louisiana Economic Development estimates the project will result in 2,257 new indirect jobs, for a total of more than 4,250 new jobs in the state’s Southeast Region. Company officials identified New Orleans as a talent-laden, culturally diverse, high quality-of-life city that would appeal to the technology professionals it will hire for the Digital Transformation Center. DXC serves nearly 6,000 major clients across 70 countries, and the New Orleans center will support a global clientele.
“We are thrilled to welcome DXC Technology to New Orleans and are looking forward to the opportunities this robust company will provide for the people of New Orleans,” Mayor Cantrell said. “Placing DXC Technology in New Orleans gives our city new levels of prominence and opens the door for greater business attraction. This development is proof that New Orleans is heading in the right direction and is on the path forward to success.”
LED FastStart®, ranked No. 1 among state workforce training programs for eight consecutive years, is supporting DXC Technology’s employment efforts. Louisiana Economic Development created the program as a comprehensive provider of workforce solutions for expanding Louisiana employers in target industry sectors. Hiring is underway now and DXC job candidates may apply and find company, qualify of life and project information at a dedicated employment website, LouisianaJobConnection.com/
Greater New Orleans Inc. and the New Orleans Business Alliance also are supporting talent initiatives for the project. The economic development groups provided site selection assistance, concierge services, real estate consultations, demographic data and other assistance that attracted DXC Technology to the city.
“GNO Inc. is thrilled to join DXC Technology in celebration of their grand opening in New Orleans,” said President and CEO Michael Hecht of Greater New Orleans Inc. “DXC epitomizes the ‘new’ New Orleans — bringing opportunity, revitalization, and diversification. As DXC stands up their operations, we look forward to working with them to ensure great success.”
“The New Orleans Business Alliance congratulates DXC Technology on its landmark office opening,” said NOLABA President and CEO Quentin L. Messer Jr. “DXC’s selection of New Orleans validates the city’s evolution as a regional technology hub. We are honored that the company identified New Orleans for its talent, cultural diversity and quality of life in choosing DXC’s location in our urban center. DXC’s combined 2,000 direct jobs and additional 2,257 indirect jobs will offer New Orleans residents greater employment opportunities, while opening new client markets for small and large local businesses. On behalf of all New Orleanians, NOLABA is proud to have played a major role in bringing to New Orleans America’s second-largest economic development win for 2017.”