PayPal pulls 400 jobs out of North Carolina in protest of HB 2
North Carolina and it’s governor Pat McCroy continue to suffer fallout after the passage of HB 2, a law which removed protections for LGBTQ citizens, as well as forced transgender folks to use the wrong restroom.
While several promises have been made by large companies, states, entertainment industry reps, and other groups to stop supporting the state through travel bans or denial of future services, PayPal, one of the largest online money exchange systems in the world, has struck a new harsh blow to the Tar heel state.
Just before the passage of HB 2, PayPal had announced a new office center would be opened in Charlotte and employ over 400 people in skilled jobs. Gov. McCroy hailed the promise as part of his states growing economy.
“North Carolina is the ideal destination for innovation-based, worldwide companies like PayPal,” said Governor McCrory back in mid-March. “Today’s announcement means that we can add another prominent name to the state’s growing list of technology businesses with major operations here.”
Well now they can remove that name from the list.
“PayPal will not move forward with our planned expansion into Charlotte,” read a statement from Dan Schulman, President and CEO of the California based tech giant. “This decision reflects PayPal’s deepest values and our strong belief that every person has the right to be treated equally, and with dignity and respect. These principles of fairness, inclusion and equality are at the heart of everything we seek to achieve and stand for as a company. And they compel us to take action to oppose discrimination.”
The estimated total investment money for the company’s NC office was estimated around $3.6 million, and all of that is gone now thanks to HB2.
“PayPal’s announcement today sends a loud and clear message to Governor McCrory that discrimination is not only bad for North Carolina and bad for people — it’s bad for business,” said HRC President Chad Griffin in a statement sent shortly after PayPal’s announcement. “With every passing day that HB2 remains on the books, Governor McCrory is inflicting damage on the state’s economy and reputation. The fact also remains that this destructive and appalling bill continues to put people across the state at risk of harm and discrimination. It is time for Governor McCrory to stop this senseless crusade against equality and repeal HB2 once and for all.”
Griffin pointed out how HB 2 is the first bill to pass and get signed into law in the country which specifically targets not only transgender citizens, but transgender students in schools. It’s this particularly harsh attack that helped spur PayPal’s decision.
“This section of House Bill 2 offers costly supposed solutions to non-existent problems, and it forces schools to choose between complying with federal law — plus doing the right thing for their students — or complying with a state law that violates students’ civil rights,” he said.
Gov. McCrory continues to buck public pressure and round up support for the bill. Late last Month, he released a statement condemning the outcry from the public over HB2, calling it a “well-coordinated, national campaign to smear our state’s reputation” after passing what he has called a “common sense privacy law.”
“Governor McCrory appreciated the opportunity to sit down and deal with these complex issues through conversation and dialogue as opposed to political threats and economic retaliation,” said Josh Ellis, Communications Director for Governor McCrory.
According to local news sources, McCrory has responded to today’s announcement saying “it’s up to individual companies to decide how to deal with a new law that requires transgender people to use bathrooms that conform to the sex listed on their birth certificates.”
“Our decision is a clear and unambiguous one,” Schulman said at the end of his statement. “As a company that is committed to the principle that everyone deserves to live without fear of discrimination simply for being who they are, becoming an employer in North Carolina, where members of our teams will not have equal rights under the law, is simply untenable.”
The North Carolina governor cited costs of litigation, noting that his state is also the defendant in a lawsuit filed against him by the Dept. of Justice on similar grounds.September 19, 2016
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