BEIP grants tied to job creation and relocation can be awardedfor up to 10 years and can range from 10% to 80% of the total stateincome taxes withheld by the company during the calendar year fromthe salaries of the affected jobs. The package offered to Lehmaninvolves a 10-year term at 80%; at stake are 400 jobs that would berelocated across the Hudson River here from Manhattan, and 100newly created positions.


The jobs that would be relocated are said to be mostly of theinformation tech variety. Lehman already has a major presence here,where rents for comparable but newer space are about half of whatthey are in Manhattan. The company's primary local locations are101 Hudson St. and 70 Hudson St., and including satellite officesin Cranford and Florham Park, Lehman already employs about 1,700 inthe Garden State.


"We would eagerly welcome the addition of 500 more jobs," saysNJ EDA CEO Caren Franzini, in a statement. "This would be atremendous increase of employment by Lehman Bros." A spokesman forLehman Bros. declined to comment.


If Lehman accepts the package, it would mark the fifth timesince 2002 that the company has gotten tax breaks from the state.It's also the second time in recent weeks that Lehman has gottensome help from the state: In June, the company got a cash infusionof $180 million when the state's pension fund bought that amount ofLehman stock.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.