PayPal Withdraws Project Over US State's 'Anti-LGBT' Law

Advertisement
By Agence France-Presse | Updated: 6 April 2016 13:13 IST
US online payment giant PayPal dropped plans Tuesday to invest millions of dollars in North Carolina, joining a growing chorus of protests by major companies against recently passed state legislation targeting transgender people.

PayPal's move came as another state, Mississippi, signed into law a measure that allows government officials and businesses to deny gay people service if it conflicts with their religious beliefs.

The legislation is part of a series of measures that have been labelled anti-gay that are sweeping southern states.

Advertisement

The North Carolina law, known as HB2, prohibits local governments within the state from enacting policies protecting the LGBT (lesbian, gay, bisexual, transgender) community from discrimination at public facilities and restrooms.

It specifically requires that transgender people use the restroom corresponding to the sex on their birth certificates.

Advertisement

"The new law perpetuates discrimination and it violates the values and principles that are at the core of PayPal's mission and culture," the company said in a statement.

"As a result, PayPal will not move forward with our planned expansion into Charlotte," it said.

Advertisement

PayPal had planned to invest $3.6 million (roughly Rs. 23 crores) in a global operations centre in Charlotte, North Carolina that would have employed more than 400 people.

In a letter to North Carolina's Republican governor, Pat McCrory, nearly 100 representatives of companies such as Apple, Bank of America, Marriott, Starbucks and Facebook warned that the law will "diminish the state's draw as a destination for tourism, new businesses and economic activity."

Advertisement

(Also see:  Tech Giants Join Rebuke of US Law Blocking LGBT Rights)

McCrory signed the measure into law on March 23, after it was approved by the state legislature.

The National Basketball Association (NBA) and other sports groups have also warned that they will consider moving events outside of the state, while Hollywood directors and producers have signalled their opposition to film in North Carolina.

New York and San Francisco, meanwhile, have said they will not finance official trips to the state.

Several rights groups, including the influential ACLU, have already challenged the law in court.

Meanwhile, Mississippi's legislation is also opposed by rights groups as well as companies such as Nissan, which employs more than 6,000 people at an assembly plant in the state.

The Mississippi law aims to protect government employees, religious organizations and some businesses that cite religious beliefs as a reason for denying services to same-sex couples that want to marry.

"This bill does not limit any constitutionally protected rights or actions of any citizen of this state under federal or state laws," Mississippi's Republican Governor Phil Bryant said Tuesday.

The law, he said, would "prevent government interference in the lives of the people."

The measures popped up in conservative states after the US Supreme Court legalized gay marriage across the nation in June 2015.

Last week in another southern state, Georgia, Republican Governor Nathan Deal vetoed a similar "religious freedoms" bill that giant corporations, Hollywood and activists complained would infringe gay rights.

 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Further reading: Apps, Internet, LGBT, PayPal
Advertisement

Related Stories

Popular Mobile Brands
  1. Alienware 15 Arrives on Flipkart: Is This the Ultimate Mid-Range Gaming Powerhouse?
  2. TCL P80 Series, Tab A1 Series With NXTPAPER Displays Unveiled at IFA 2026
  3. Samsung Galaxy A27 Review
  4. Tecno Pova 8 Pro 5G Tonino Lamborghini Limited Edition Unveiled
  5. Poco X8 Power, X8 With 50-Megapixel Camera Debut in India: See Prices
  6. These Flagship Oppo Find X10 Series Phones Could Launch Soon in India
  7. Xiaomi Power Bank 20000mAh 165W to Launch in India On This Day
  8. Xiaomi Smart Band 11 Active With a 1.47-Inch Screen Debuts: See Price
  1. IFA 2026: Lenovo Unveiled New IdeaPad, Yoga and ThinkBook Laptops
  2. IFA 2026: Nvidia RTX Spark PCs, Local AI Tools Announced With October Launch Planned
  3. WhatsApp Reportedly Rolling Out Third-Party AI Agent Chats to Android Users
  4. Luna Band Now Available Globally: Check Price in India, Specifications and Features
  5. Pocket Bitcoin Data Breach Exposes Personal and Financial Information of 5,411 Customers
  6. Google Pixel Watch 5 Stephen Curry Special Edition Goes on Sale: Price, Features and More
  7. IFA 2026: Noise Master Buds Open With Sound by Bose Technology Unveiled
  8. Binance Warns of Phishing Scam Targeting Crypto Users With Fake Account Security Alerts
  9. Oppo Find X10 Pro Max, Find X10 India Launch Seems Imminent as Phones Appear on Certification Site
  10. Xiaomi Smart Band 11 Active Launched With Up to 21 Days of Battery Life; Smart Band 11 Price, Features Revealed
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.