The restructuring of personnel and facilities at TSYS is continuing, with the credit-card and payment processor now moving to close its information technology centers in Boise, Idaho, and Golden, Colo.
TSYS, headquartered in downtown Columbus, confirmed the decisions on Tuesday, but did not say how many employees were impacted at the two locations. It did say that as a result of the closings, the work will be “redistributed” across other TSYS facilities.
“These moves are part of a continuous effort to bring clarity and focus to our business model,” the company said in a statement issued by spokesman Cyle Mims. “One of our priorities is to identify our ideal operating structure in order to maximize efficiencies and scale of operations. We are convinced that these moves will continue to enhance our efficiency and meet our clients' needs.”
The Idaho Statesman reported Friday that the firm had notified the Idaho Department of Labor and the Boise mayor’s office that it was laying off 64 employees at the facility there in advance of its permanent closure at the end of June. Nine workers were eliminated on Friday, with the balance being let go June 30, the newspaper said.
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Bill Thoennes, public information officer with the Colorado Department of Labor and Employment, said Tuesday afternoon that his agency had not received notification from TSYS or its subsidiaries concerning layoffs in Golden. He said the federal Worker Adjustment and Retraining Notification Act (WARN) would require a notice if an entire facility was being shuttered.
It was in July 2003 that TSYS opened the Boise location as a subsidiary called TSYS Technology Center Inc., with 77 staffers employed immediately and 82 on the job by August of that year. The facility’s work included dealing with clients in government services, customer care, programming and systems development.
Most of the initial employees were senior software application developers previously working for Sears, Roebuck and Company’s Application Development Center at the same Boise property. Sears shut down its operation there in December 2002.
The new jobs in Boise were hailed at the time by then-Idaho Gov. Dirk Kempthorne, who called it “the kind of job creation we want in Idaho,” saying that TSYS “clearly cares about its employees, pays well, offers health care and provides benefits.”
Phil Tomlinson, the chairman and chief executive officer at the time, said the move was aimed at “managing tremendous growth” at TSYS, with 62 million-plus accounts in the pipeline being converted to the TSYS processing system. Tomlinson is now retired, with Troy Woods leading the global processor as its chairman and CEO.
This is just the latest move by TSYS to restructure its staffing and office needs, with the company last summer confirming that an effort called “TSYS 20/20” was under way, with an undisclosed number of layoffs and retirements companywide.
TSYS employs about 11,500 people worldwide, serving 400 clients in 80 countries. Of those, roughly 4,950 staffers earn a paycheck at its corporate headquarters in downtown Columbus and at other facilities in the city, including a card and statement production operation off Moon Road. It also is in the process of opening a card and statement facility in Columbus, Ohio, both for growth and as a backup operation in case of an emergency, such as a damaging storm or power outage, at the local center here.
The company also inherited about 1,000 staffers through its $2.35 billion purchase of merchant-processing specialty firm TransFirst a year ago. Based in Hauppauge, N.Y., TransFirst — which now falls under the company’s TSYS Merchant Solutions operation — also has facilities in Broomfield, Colo., Aurora, Colo., Franklin, Tenn., and Cypress, Calif.