Fidelity to close Marlborough offices, move jobs
Fidelity Investments, which has cut thousands of jobs in Massachusetts over the past few years, plans to shutter its Marlborough operations by 2012 and move most of its 1,100 jobs there out of state, a spokeswoman said today.
Anne Crowley, a spokeswoman for the financial services giant, said the company will likely relocate a small number of jobs from Marlborough to its Boston headquarters. But Crowley said the vast majority of positions will be transferred to locations in other states, including Merrimack, N.H. and Smithfield, R.I.
"We have significant vacant space around the country," Crowley said, adding that it doesn't have much available space in Boston.
Fidelity said it currently has 8,400 workers in Massachusetts, down from about 13,000 in 2006, after a series of layoffs, jobs cut through attrition, and positions moved to other locations. The company has 37,000 employees worldwide.
Crowley said the company's Massachusetts workforce has shrunk in recent years for two reasons. First, Fidelity has reduced its entire workforce since the global economic crisis. But the company has also tried to spread its employees out to better reach potential customers and attract talented employees, he said.
"We have long believed in expanding geographically," Crowley said, noting that Fidelity has long since grown beyond its roots as a small Boston mutual fund company established in 1946. "We're not the same firm we were 65 years ago."
Fidelity owns two existing buildings in Marlborough, measuring a combined 700,000 square feet, that it plans to sell or lease. The firm also leases another smaller building nearby.
Most of the 1,100 employees in Marlborough work in the company's Personal Workplace and Institutional Services unit, the vast distribution unit that includes Fidelity's brokerage and workplace benefits business. Fidelity also has a smaller numbers of Marlborough workers in its corporate services group, which includes technology, finance, and administration.
Crowley said most of the Marlborough employees will be given an option to follow their job to the new location.
The news comes just days after Fidelity reported strong financial results. The company said revenue rose 7 percent last year to $12.3 billion. And operating income rose 17 percent to $2.9 billion.