Fidelity asked local, county and state governments in Covington, Ohio for more time to create an additional 350 jobs at its campus there. Fidelity moved to the location in 2005 and agreed to create an additional 1,500 jobs in exchange for a number of incentives, including a $17.5 million, 1.7-mile road leading to its complex.
Fidelity moved 2,750 employees to the new site and has created an additional 1,150 jobs. The grand total of employees that Fidelity agreed to employ by Dec. 31, 2010 is 4,250, Dan Tobergate, president and CEO of the Ti-County Economic Development Corp. told the Cincinnati Enquirer.
The governments granted Fidelity’s request. However, if the company doesn’t meet the new deadline, it will have to pay the state and local governments $5,000 for each employee below the 4,250 target.
“I think doing what they are asking will give them help with very little detriment to the city,” said Covington City Commissioner Jerry Stricker. “They want to be a good corporate citizen.”
Tobergate complimented Fidelity for helping boost the local economy, saying, “We have all benefited, because the primary jobs that are created at Fidelity spin off other jobs in the community, such as at a gas station or restaurant or at a printing facility.”
Fidelity spokeswoman Jenny Engle said, “Fidelity fully intends to meet its obligations. In light of the extraordinary market events, we requested additional time.”