MassMutual Announces Major Expansion and Reinvestment in Massachusetts
SPRINGFIELD — Massachusetts Mutual Life Insurance Company (MassMutual) today announced a multi-year plan to expand its footprint in its home state of Massachusetts by significantly increasing its presence in Springfield and growing operations in Boston. In total, MassMutual will invest nearly $300 million into the Commonwealth and increase its workforce in the state by approximately 70 percent by the end of 2021.
As part of this plan, MassMutual is renewing its commitment to Springfield, the city of its founding in 1851, and expects to grow its workforce at its corporate headquarters by approximately 50 percent. To accomplish this, the company will be adding 1,500 positions to the facility over the next four years, bringing the total number of employees in Springfield to approximately 4,500 by 2021. MassMutual expects to make an investment of $50 million in facilities improvements at its State Street campus over the next several years to accommodate this growth.
MassMutual also plans to expand upon its Boston presence, constructing a new campus in the Seaport district on Fan Pier by 2021. This campus will ultimately house approximately 1,000 employees. The multi-story office structure — which will be in excess of 300,000 square feet – will be situated on an undeveloped parcel owned by MassMutual, with MassMutual as its primary tenant. The company expects to invest approximately $240 million into its new Boston campus over the next several years.
MassMutual is expanding in the Commonwealth because the state provides the company with everything it needs to continue to best serve its policyowners in the future: a highly skilled workforce, including a rich pipeline of talent from the state’s best-in-class network of higher education institutions; robust local economies; convenient access to transportation, and a diversity of communities, including the best of both metropolitan and suburban locations.
“Following a thorough strategic assessment of our operations and footprint, we concluded that our home state of Massachusetts is the best place for us to grow and thrive over the long term,” said Roger Crandall, MassMutual Chairman, President and CEO. “We have deep roots and a supportive community in our hometown of Springfield, and we will continue to invest and grow our workforce in the city. At the same time, as we evolve, a stronger Boston presence immerses us in a booming financial and digital economy and provides us with an enhanced opportunity to recruit innovators from the area’s deep and diverse talent pool.”
MassMutual’s Boston campus will primarily house functions that will benefit most from being located in a vibrant ecosystem with access to financial markets and digital talent.
“Our highly educated and skilled workforce helps the Commonwealth and great companies like MassMutual continue to lead the nation in a number of competitive categories,” commented Governor Charlie Baker. “We are proud MassMutual has called the Commonwealth home for over 165 years and we look forward to what their investments in Western and Eastern Massachusetts will mean for Massachusetts, our economy and their employees.”
Baker added that as part of this agreement with the state, MassMutual will receive a package of incentives valued at approximately $46 million from the Commonwealth, the largest commitment ever made to a Springfield-based company. Those incentives are contingent upon MassMutual meeting its job-creation obligation of adding 2,000 jobs to Massachusetts. The job growth will result from new hires as well as relocation from other MassMutual sites to both Springfield and Boston.
“We are thrilled to have MassMutual expand its presence and build a new campus on Fan Pier,” Mayor Martin J. Walsh remarked. “MassMutual’s decision to grow in Boston will give the company greater access to the growing technology and financial services industries in our city and enhance its ability to attract the best available talent. I am delighted another major employer has decided the City of Boston can contribute to its successful future.”
MassMutual has been a supportive citizen of the Springfield community since the company’s founding in 1851. In recent years, MassMutual has invested largely in education, economic development and cultural vitality through the MassMutual Foundation, a dedicated corporate foundation established by the company.
“MassMutual remains one of our leading corporate citizens, and I am pleased that we have once again been able to work together to support the company’s continued growth and expansion here in its hometown of Springfield,” said Mayor Domenic Sarno. “My administration has been working hard to create an environment that encourages job growth and today’s announcement illustrates that through collaboration, we can find constructive solutions to support our communities for the long-term.”
Over time, MassMutual plans to consolidate certain facilities in other parts of the country, moving positions to its Springfield and Boston campuses. The company currently expects to retain offices in Amherst, Mass., New York City and Phoenix, AZ, which provide access to specific talent pools and business solutions.