Amazon scraps plans to build second HQ in New York

The online retailer initially vowed to bring up to 40,000 jobs to New York

Amazon scraps plans to build second HQ in New York

New Yorkers looking to get a job at Amazon might have to go elsewhere for employment after the online retail giant pulled the plug on its plan to build a second headquarters in the Big Apple.

In a statement, Amazon said it cancelled the planned construction because of opposition from a number of state and local officials who made it clear that they did not want the new HQ there.

“After much thought and deliberation, we’ve decided not to move forward with our plans to build a headquarters for Amazon in Long Island City, Queens,” the company said.

In November, Amazon announced that Long Island City as well as Arlington, Virginia had won the national search for the retailer’s second HQ.

Amazon vowed to bring 25,000 to 40,000 jobs to New York if it was given US$3bn worth of tax subsidies by state and local governments. The planned construction was also expected to generate as much as $27bn in tax revenue for the state and the city.

However, the project fell through after progressive Democrats criticised the New York government for the subsidies being offered to Amazon. They also raised concerns about the potential impact the new workforce would have on issues such as traffic and home prices in the city.

Amazon grew concerned that it might not get politicians to sign off on the planned construction.

While Amazon is no longer interested in finding a new location for its HQ, it is still pushing through with plans to open new campuses in Nashville and in Northern Virginia.

The company is also looking to beef up its presence in New York by expanding throughout its other boroughs.

 

Free newsletter

Our daily newsletter is FREE and keeps you up-to-date with the world of HR. Please complete the form below and click on subscribe for daily newsletters from HRD Canada.

Recent articles & video

McDonald’s taps Snapchat-loving job hunters with 'Snapplications'

Most employers willing to hire 'underqualified' candidates

Mental wellness: why C-suite should lead the discussion

Should HR ban workplace dress codes?

Most Read Articles

Is your workplace culture toxic?

Should HR ban workplace dress codes?

Disengaged employees are 'sticking around' in their current job