Tuesday, 5 April 2016

PayPal abandons plans to open facility in Charlotte because of LGBT law

quote [ “As a company that is committed to the principle that everyone deserves to live without fear of discrimination simply for being who they are, becoming an employer in North Carolina, where members of our teams will not have equal rights under the law, is simply untenable” ]

Finally, something positive about PayPal. Good on them.

Reveal

PayPal abandons plans to open facility in Charlotte because of LGBT law

By Mark Berman April 5 at 5:04 PM

The backlash against a North Carolina law that bars local governments from extending civil rights protections to gay and transgender people continued Tuesday, with PayPal saying it is abandoning plans to expand into Charlotte in response to the legislation.

This decision came just weeks after PayPal, the California-based online payments firm spun off from eBay, said it would open a global operations center in Charlotte, a move that state officials said would bring millions to the local economy and employ 400 people.

“The new law perpetuates discrimination and it violates the values and principles that are at the core of PayPal’s mission and culture,” Dan Schulman, PayPal’s president and chief executive, wrote in a statement on Tuesday. “As a result, PayPal will not move forward with our planned expansion into Charlotte.”

North Carolina’s law was introduced to override a civil rights ordinance passed in Charlotte this year that said transgender people in the state’s largest city could use bathrooms corresponding with their gender identity.

Last month, state lawmakers hastily introduced and passed a bill that overrode Charlotte’s measure and said that transgender people were prohibited from using bathrooms that do not correspond with the gender listed at their birth.

Gov. Pat McCrory (R) signed the state measure, praising it as needed “to stop this breach of basic privacy and etiquette” in Charlotte.
North Carolina Gov. Pat McCrory (R) has defended the law. (Jerry Wolford/Bloomberg News)

The state law was quickly pilloried by LGBT rights groups and a host of companies, including Apple, Google, American Airlines and Lowe’s. The NBA, which has a franchise in Charlotte, suggested that it was considering moving next season’s All-Star game out of that city because of the law. A lawsuit filed against the legislation last week called it tantamount to legalized discrimination.

This law could also cost the state federal funding. At least five federal agencies are debating whether to withhold money because of the law.

McCrory has defended the state law as necessary to protect people using a public restroom or locker room. In a video message posted last week, he said the state “has been the target of a vicious, nationwide smear campaign.”

A spokesman for McCrory did not respond to a request for comment about PayPal’s announcement Tuesday.

North Carolina Attorney General Roy Cooper (D), who is facing McCrory in what is expected to be a tight gubernatorial race in November, said the law cost the state “new, better paying jobs” and called on McCrory to repeal the legislation.

The Republican leaders of the state legislature pointed the blame for PayPal’s decision at Cooper and Charlotte Mayor Jennifer Roberts (D), arguing that the “radical bathroom policy” was responsible for the situation.

“If Jennifer Roberts, Roy Cooper and the far-left Political Correctness Mob she’s unleashed really care about the economic future of her city, they’ll stop the misinformation campaign immediately and start telling the truth about this commonsense bathroom safety law before more damage is done to the city she was elected to lead and the state Cooper was elected to protect,” Sen. Phil Berger, president pro tempore of the state Senate, and Rep. Tim Moore, speaker of the state House, said in a joint statement.

[Hours later, Mississippi adopted legislation letting businesses refuse service to gay people]

On Tuesday, Schulman said PayPal regretted its decision to abandon the Charlotte facility but called the choice “clear and unambiguous.”

“As a company that is committed to the principle that everyone deserves to live without fear of discrimination simply for being who they are, becoming an employer in North Carolina, where members of our teams will not have equal rights under the law, is simply untenable,” he said.

Schulman said that PayPal would find another home for its operations center, but he did not specify where or when a decision would be made. Other elected officials city quickly threw their hats into the ring.

Vermont Gov. Peter Shumlin (D) wrote a letter to Schulman saying that his state would be a natural fit. “We would welcome you – as we do all our citizens no matter their gender, race, sexual orientation, or gender identity – with open arms,” Shumlin wrote.

Washington’s deputy mayor for public safety and justice, Kevin Donahue, suggested the District as a replacement:

Washington Mayor Muriel E. Bowser (D) — who retweeted that message and tweeted, then deleted, another message aimed at PayPal — last week banned official travel from the nation’s capital to North Carolina due to the law.

D.C. Council member Davis Grosso introduced a bill Tuesday that would enshrine Bowser’s travel ban in District law. Any state that passes similar legislation — including Mississippi, which passed a sweeping bill Tuesday letting businesses refuse services to gay people — would also be subject to the permanent ban.

“The blatant bigotry on display led me to believe these states were not a safe destination for our public employees,” Grosso said. “They should not be forced to travel to places that pride themselves on anti-LGBT” laws.”

The District’s ban is one of several announced since North Carolina’s law was enacted, including New York Gov. Andrew M. Cuomo (D), who signed an order saying that “the will of the many cannot be the basis for discrimination against the few.”

Cuomo’s statements drew a sharp response from McCrory’s office, which pointed out that the governor had no qualms about people traveling to Houston, where voters rejected a measure designed to protect gay and transgender people last November.

Josh Ellis, a spokesman for McCrory, said Cuomo was being hypocritical by not calling on the Syracuse University men’s basketball team to skip the Final Four in Houston due to that vote. (Syracuse ultimately lost to the North Carolina team in their match-up over the weekend.) The NCAA, which spoke out against the North Carolina law and others in Georgia and Indiana, never got involved in Houston’s debate.

The decision by PayPal to nix its Charlotte plans appears to be the biggest response yet from a major company. And it affects something that McCrory had praised just days before he signing the controversial law last month.

McCrory called North Carolina “the ideal destination” for such a company in a statement he released last month. The company’s choice of North Carolina “means that we can add another prominent name to the state’s growing list of technology businesses with major operations here,” McCrory said.

“PayPal’s announcement today sends a loud and clear message to Governor McCrory that discrimination is not only bad for North Carolina and bad for people — it’s bad for business,” Chad Griffin, president of the Human Rights Campaign, said in a statement.

McCrory’s office had said that PayPal would invest more than $3.6 million in Mecklenburg County by the end of next year. His office also said that a state grant, approved in March, made PayPal eligible for $2.7 million in reimbursements over the next 12 years.


Meanwhile, in Mississippi...
[SFW] [politics] [+6 Good]
[by sanepride@9:28pmGMT]

Comments

rash1 said @ 10:24pm GMT on 5th Apr [Score:1 Funsightful]
So, PayPal is "temporarily freezing" their activity?
lilmookieesquire said @ 9:55pm GMT on 5th Apr
It annoys me when companies "consider" pulling out. It's like trying to get the credit for being decent but not actually doing it. I consider it the worst of both worlds.
satanspenis666 said @ 10:21pm GMT on 5th Apr
Back in my day, we never had any fancy forms of birth control, like pulling out.
HP Lovekraftwerk said @ 11:22pm GMT on 5th Apr
I know everyone has horror stories about PayPal, but I don't see them as having any more or fewer problems than a lot of credit card companies or banks.

Not to mention they helped bring about mobile payment systems for small merchants (i.e. having a tablet to run a booth at a convention) vs. having to have a business bank account, leasing a credit card machine, and paying for a phone like or cell service to operate said machine, all of which would make most small vendors cash-only or not exist in the first place.
foobar said @ 3:51pm GMT on 6th Apr
It always seemed to me that the issue was people who'd never been merchants before, and don't realize that you have to give refunds if asked, whether you like it or not. Unless the client is flagrantly in the wrong, a credit card issuer is going to side with them. And even then they might still.
cb361 said @ 5:22pm GMT on 6th Apr
Also, if your livelihood depends on Paypal processing your transactions and not freezing your account for some reason, make sure you have multiple active accounts. And for God's sake don't leave the cash in a Paypal account for a day longer than it has to be there.
mwooody said @ 11:17pm GMT on 6th Apr
A lot of the problem with them stem from them being staunchly anti-porn, and how uncommunicative they could be when they decide you're selling what they consider porn and they will therefore be keeping your money.
1234 said @ 12:38am GMT on 7th Apr

“As a company that is committed to the principle that everyone deserves to live without fear of discrimination simply for being who they are, becoming an employer in North Carolina, where members of our teams will not have equal rights under the law, is simply untenable. However, our principles are situational, flexible, or nonexistent, and we're happy to partner with Network International for our offices in Dubai, where gay members of our teams may be executed by the state.”

sanepride said @ 3:02am GMT on 7th Apr
Not to dismiss the oppressive human rights situation in countries like UAE, or Malaysia (where PayPal apparently also maintains offices), but simply having offices in these places is not necessarily an endorsement of their policies, nor are they likely to have any effect on those policies by closing their offices. The NC facility on the other hand, was to be a major global hub and would have an actual impact on their economy. This is a situation where their decision could send a clear statement and have an actual impact. So save your talking points on PayPal's alleged hypocrisy. If you want to go ahead and defend the NC law though, be my guest.

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