America’s Mid-Atlantic Hub for Business Services

Navy Federal Credit Union, Frederick County

Accenture, Arlington

America’s Mid-Atlantic Hub for Business Services

Top business process services (BPS) companies choose Virginia for its top talent, nationally recognized business climate, strategic location, and world-class infrastructure. BPS is a well-established, expanding sector; over the past decade, more than 28,000 jobs and $500 million in investment were announced in conjunction with nearly 200 BPS projects in Virginia, spanning sectors such as consulting, back-office services, and customer service. Recent announcements include EAB in Henrico County, PRA Group in Norfolk, SimpliSafe in Henrico County, Grant Thornton in Arlington County, and The Data Entry Company (TDEC) in Russell County.

America’s Top State for Talent

Ranked No. 1 in the U.S. for Education by CNBC, Virginia is home to almost 270,000 people employed by BPS companies and nearly a half million people working in key occupations relevant to the industry, both in the BPS sector and beyond.

Virginia’s excellent education systems ensure a steady flow of new talent every year, with 60% of undergraduates staying in Virginia upon degree completion. The state’s higher education system is ranked No. 2 in the U.S. (SmartAsset, 2022).

Employers often draw talent from among thousands of service members who exit the armed services in Virginia every year.

Virginia’s Talent Accelerator Program — a world-class, customized talent acquisition and training solution — is available to new and expanding BPS companies to ensure they can quickly attract and onboard high-quality employees. The program is offered at no cost to qualified companies as an incentive for job creation. As an alternative, Virginia Jobs Investment Program (VJIP) grants are available for companies that prefer to manage their own recruitment and training. Virginia Talent Accelerator Program clients include CMA CGM and Qualtrics XM.

GEICO Finds Top Talent in Virginia

GEICO, the second-largest auto insurer in the U.S., established a regional office in the Fredericksburg region in 1994 with 700 employees and has continued to reinvest in its 44-acre campus over the years. In 2008, the company invested $28 million to establish a 16,760-square-foot data center, accommodating its expanding Internet business. In 2016, GEICO announced an additional $1.1 million expansion, adding 798 new call center and IT jobs. GEICO selected Stafford County to accommodate its growth due to the

business climate and strong track record of existing talent. GEICO is the largest private sector employer in Stafford County, with more than 4,000 employees.

GEICO is committed to serving its local communities. Over the past 25 years, GEICO’s Fredericksburg regional office and its associates donated more than $14 million to local charitable projects, including an accessible playground, buses and vans for summer camps, golf carts for law enforcement safe driving programs, and child safety seat inspections.

GEICO, Stafford County

Accenture, Arlington County

1901 Group, A Leidos Company, Montgomery County

Booz Allen Hamilton, Fairfax County

Attractive, Stable, and Predictable Operating Environment

In 2022, Site Selection magazine identified Virginia as America’s Top State Business Climate.

Ranked one of America’s top states for business, Virginia is frequently recognized for its favorable regulatory climate and consistently rated one of the best-run states in the country. Virginia’s total state and local taxes are lower than the nationwide average, and costs of leasing, construction, and utilities are competitive with other major BPS hubs in the United States.

Robust Real Estate Portfolio

With 70 million square feet of office space on the market, Virginia is continuously expanding its portfolio of commercial real estate options.

BPS companies have abundant access to new-build Class A office space, economical Class B and Class C office space options, and alternate, cost-competitive options such as flex space and converted retail space.

Thriving and Diverse BPS Ecosystem

Illustrative Examples

Virginia’s vibrant business ecosystem supports a fast-growing BPS industry of over 2,700 companies in a range of BPS segments – including back-office and business support services, call centers, and consulting. Industry leaders in Virginia include ADP, Navy Federal Credit Union, GEICO, T-Mobile, and EY. The BPS industry varies widely across regions of Virginia: Northern Virginia, for example, is known for major IT and consulting companies and federal contractors, while the scenic Southwest Virginia region is a cost-competitive location for back-office and call center operations.

Strategic Location that Enables Global Connectivity

Virginia’s strategic location on the East Coast offers important advantages for BPS companies through proximity to key economic hubs, including critical customer markets in the Mid-Atlantic, the Northeast Corridor, and fast-growing metropolitan areas across the Southeast. Virginia’s proximity to Washington, D.C. is a major advantage for BPS companies with federal contracts. By virtue of its position in the Eastern Time Zone, Virginia offers an easily accessible base of operations for companies expanding into the North American and European markets.

We chose to locate a new facility in Norfolk because of the thriving business climate in the city and Commonwealth. We have the opportunity to attract a diverse workforce that will make significant contributions to ADP and add value to the client experience. We look forward to building long-lasting relationships with the people of Norfolk and Virginia.

DEBBIE DYSON Former President, National Account Services, ADP, Inc.

ADP Accesses Talent in Virginia

With a number of business units operating throughout the Northeast U.S., ADP, Inc., a leading global technology company providing human capital management solutions, saw the opportunity to centralize certain operations in one location to improve efficiency, increase cohesion, and maximize resources. The company was seeking an urban space that could accommodate its needs and attract a strong pipeline of talent to continue to grow as a company.

In March 2016, ADP announced plans to invest $32.25 million to establish a regional customer service center in the City of Norfolk, creating more than 1,800 new jobs. Today, residents between the ages of 20 and 34 make up the largest age group in the city. Long known as home to the world’s largest naval station, Norfolk absorbs exiting military personnel into its workforce annually. Seven colleges and universities and four community colleges are within an hour’s drive of downtown, offering proximity to new graduates who want to remain in the Hampton Roads region.

ADP employs more than 2,200 at its Norfolk facility — well over the estimated job creation — and is a marquee company on Norfolk’s corporate roster and an active member of the community. The company has placed a significant emphasis on revitalizing Norfolk’s downtown area, providing job opportunities for local veterans entering civilian life, creating a diverse and inclusive workplace, and developing partnerships with nearby higher education institutions.

In 2020, Old Dominion University completed a $500,000 technology lab that allows students to use ADP’s payroll, benefits, and human resource management software. This partnership gives students practical skills needed to enter the workforce quickly after graduation. The company has also received numerous consecutive 100% ratings in the Human Rights Campaign (HRC) Foundation’s annual Corporate Equality Index (CEI), fostering a culture that embraces all forms of gender identity and expression, race, ethnicity, nationality, age, sexual orientation, veteran, and disability status.

Seamless Global and Local Connectivity

Corporate travelers have access to world-class international flight service from Northern Virginia’s airports, as well as frequent direct flights from airports across Virginia to all key markets.

Virginia, which ranks No. 1 among Southeastern states for public transit usage, offers BPS employees access to environmentally friendly transportation via rail, metro, and bus systems.

With the third-fastest average internet speed in the U.S., the state’s long-term infrastructure investments in fiber optic connectivity have created a top environment for BPS companies to flourish. A recent investment of $700 million underway will expand broadband coverage to all of Virginia by 2024.

16 commercial airports serve Virginia with direct flights to 100+ domestic and 50+ international destinations

47% of the U.S. population located in the Eastern Time Zone

$36.6 billion committed for transportation projects over the next six years

#1

among Southeastern states for public transit usage

#3

fastest internet speed in the country according to WalletHub

Virginia

Offers SimpliSafe Solutions

SimpliSafe, founded in 2006 by Harvard Business School students, is a market leader in the self-installed, remotely monitored home security system industry. Based in Boston, SimpliSafe has experienced rapid growth in the past decade as millions of consumers adopted its products. The company needed a second national customer support operation and was seeking a location that would provide the workforce it required with an attractive quality of life to successfully recruit employees.

After a nationwide search, SimpliSafe selected a location at Willow Lawn in Henrico County in 2020, representing a $5.5 million investment and 572 new jobs. Virginia successfully competed for the project in large part due to excellent access to interstates and public transportation and the skilled talent available in the surrounding region.

The company’s impression of Virginia was so positive that just over one year later, SimpliSafe announced plans to expand in Henrico County with a second location, investing $2.46 million and creating over 250 new jobs.

Washington Dulles International Airport

Exceptional Quality of Life

With a competitive cost of living, a mild four-season climate, and a diverse range of natural and cultural attractions, Virginia offers an exceptional quality of life. Vibrant urban centers and picturesque small towns are alive with arts, culture, history, and stunning landscapes. Outdoor enthusiasts are within easy driving distance to the scenic shorelines of Virginia’s beaches and rivers as well as hiking trails and mountain vistas. For these reasons and many others, Forbes ranked Virginia No. 1 in the U.S. for Quality of Life.

Tinker Cliffs, Botetourt County

Virginia Creeper Trail, Washington County

The Omni Homestead Resort, Bath County

Smith Mountain Lake, Bedford County

Arlington County

Sandbridge, Virginia Beach

Carpenter Theatre, Richmond

Main Street Station is one of two Amtrak stations in the Richmond area. Amtrak operates 25 trains throughout the Commonwealth, connecting more than 1.5 million passengers a year from all over Virginia to destinations across the country.

Expertise • Collaboration

Innovation

Solutions

The Virginia Economic Development Partnership’s team of dedicated and knowledgeable professionals is committed to Virginia’s economic success, and connects industry-leading businesses to the resources they need to make relocations and expansions successful. From site selection, customized research, cost analysis, and coordination with public and private partners, to discretionary incentives and workforce solutions, VEDP’s services are tailored to companies’ unique requirements.

To learn more about VEDP’s expertise and resources, visit VEDP.org.

© August 2023