Prospects for major Deloitte expansion now muddled

UPDATED 4:12 P.M. - A Deloitte exec suggests local journalist ignored his guidance, but reporter says he's confident about massive employment increase

Email | Print By Milt Capps

UPDATED 4:12 P.M. - Metro Council Member Jim Gotto of Hermitage confirmed this afternoon he understands the projected Deloitte employment increase at the company's Hermitage site is "100 or less," rather than the disputed figure reported elsewhere. Gotto avoided speculating about longer-term plans.

As reported earlier by NashvillePost.com:

Deloitte Services LP told NashvillePost.com this morning that news of expansion of Deloitte's workforce and facility at Hermitage has been exaggerated, while the reporter who broke the story counters with, "I'm standing by the story."

Deloitte spokesman Jeff Zack told NashvillePost.com earlier today that a story published yesterday by The City Paper erred by a factor of ten in suggesting the company may double its workforce to as many as 2,000 employees.

Zack said he told City Paper Business Editor John Cummins prior to the story's publication that the workforce increase would be much smaller than 1,000. Cummins reported Zack did not provide a specific estimate of new workers.

Cummins' story attributed to Metro Council Member Jim Gotto, who represents the Hermitage area, comments suggesting that Deloitte's plans call for a "major expansion that could double" its Hermitage workforce. Gotto's district includes the Deloitte site.

Reached by NashvillePost.com this morning, Cummins expressed unqualified confidence in his story, asserting pointedly that he'd gotten adequate confirmation from Deloitte sources other than Zack. In response to followup questions, Cummins said he had "no interest" in discussing the matter further with other news media.

Meanwhile, Councilman Gotto has not yet responded to NashvillePost.com's queries in this matter, placed this morning. This story will be updated with any pertinent comments from him.

Zack said this morning, "While we do not have an exact number that would be added over time, it is nowhere near the number reported in the article," which trumpeted a possible 1,000-person increase. "The actual number is less than 100."

Zack stressed that Deloitte views the actual increase with enthusiasm, and he expressed concern that what he believes is the more realistic figure will disappoint locals. In fact, an increase of upward of 100 primarily IT jobs would be significant in Middle Tennessee, where tech companies tend to be very small, unlike giant Deloitte.

The City Paper's coverage was triggered by a Deloitte-prompted request for zoning changes that would allow the company to expand its current 200,000 square foot facility by about 8.5 percent. According to minutes of yesterday's Metro Planning Commission meeting now online, it appears the requested zoning changes have all been approved.

Deloitte's Hermitage operation is located on Sells Drive near Old Hickory Boulevard, and the workforce there is predominantly information-technology professionals. IT workers will also represent the majority of new hires, Zack said, and they will probably focus on service to Deloitte's Financial Advisory Services subsidiary. Most of the local "client-facing" representatives of the global accounting/consulting firm work from its downtown office, he explained.