By Bill O'Boyle

April 7, 2009

Hanover Twp. - U.S. Rep. Paul Kanjorski called it the best kind of economic stimulus: new jobs.

Kanjorski and U.S. Sen. Bob Casey joined Sallie Mae Chief Executive Officer Albert L. Lord to brighten an otherwise dreary Monday by announcing the work force at Sallie Mae will nearly double over the next 12 to 18 months.

The three said Sallie Mae is returning to the United States about 2,000 jobs from its overseas operations, with 600 of them coming to the facility in the Hanover Industrial Park. The hiring process is expected to begin immediately.

"This is exactly the kind of stimulus the economy needs," Kanjorski, D-Nanticoke, said. "This move by Sallie Mae is the first really positive sign we have seen. I hope more companies follow Sallie Mae's lead."

Todd Vonderheid, president of the Greater Wilkes-Barre Chamber of Business and Industry, said that because of this morning's announcement, there are 700 local residents already working at Sallie Mae who are feeling much better about their job security."

They are now much more likely to go out and buy a car, buy something new for the house, or otherwise engage in the consumer spending necessary to boost the local economy," Vonderheid said. "And, in just a few months, Sallie Mae's 600 new local employees will be adding even more to our community's economic base. That's why this decision is so positive for the entire Greater Wilkes-Barre area."

Vonderheid said Sallie Mae has set a new standard for corporate responsibility in the United States.

"They have brought these jobs back home, even to the detriment of the corporate bottom line," he said.

Lord said the shift will cost the company $35 million a year, an amount he defended as an investment that will "enhance our franchise for many years to come.""It's only $35 million out of $300 million. The measure of a company should not be just in dollars," he said.Lord said the reason Sallie Mae moved jobs out of the country was because the company had to make $300 million in cuts to re-engineer the corporate structure."

We were at the point where we couldn't make a student loan at a profit," he said.Lord is a native of suburban Philadelphia and a Penn State University graduate. He said he wanted to make the corporate announcement in the Wilkes-Barre area because it's his favorite Sallie Mae site.

"This is our first facility," Lord said. "I think of Wilkes-Barre as the heart and soul of Sallie Mae. It's our oldest facility and my favorite."The good news also echoed around Wilkes-Barre as local residents seemed to be pleased with the announcement. "It's great ... I think this place needs jobs," said Stan Pienta of Plains Township.

"There's so much talent ... with all these colleges and all our kids going to school," he said, adding that he feels the jobs should have never been outsourced to begin with.Lord heaped praise on Kanjorski, crediting the 13-term congressman for his diligent work on this project and many others for the 11th Congressional District.

"When I told Congressman Kanjorski that we were returning 2,000 jobs from overseas, he wanted them all," Lord said. "I don't have any other congressman that works harder to bring jobs to his district than Paul Kanjorski."

Lord gave an impassioned account of the company's journey over the last two years - a journey that just last November had many Sallie Mae employees concerned about their futures. When Lord announced that the 600 new jobs would be in Wilkes-Barre, the 650-plus employees who were gathered in the auditorium rose to their feet to clap, cheer, cry, yell and smile."

In the last 15 to 18 months, we have had to lay off people and send jobs offshore," Lord said. "But no more; we are bringing jobs back to this country and to this facility."

Lord said the decision to sends jobs overseas weighed heavy on his mind. Lord has been with Sallie Mae for more than 20 years and has watched it grow from a small company of 300 employees to more than 8,000 today. Locally, Sallie Mae employed 1,015 at its highest point and has approximately 715 on staff now.

"It broke my heart to watch those jobs go overseas," he said. "It gives me a great deal of pride to bring them back."Casey, D-Scranton, said with unemployment in Northeastern Pennsylvania at its highest in 15 years, Sallie Mae's announcement couldn't have come at a better time.

"I will say that if we can have more Monday mornings like this, it would be spectacular," Casey said.

Kanjorski said he had a meeting with Sallie Mae managers and employees on the day before the 2008 general election. He said it was a difficult meeting and he had to bite his tongue because he couldn't reveal discussions were already under way about bringing jobs back to the United States.

"That's why I couldn't wait to get back here today to make this announcement," he said, noting that Sallie Mae will become one of the top 10 employers in the region.

Sallie Mae is the nation's largest provider of student loans and the leading administrator of 529 college savings plans. The company serves 10 million student and parent customers.