Liberty Mutual Insurance announced today that it will expand its Boston, Massachusetts headquarters and add 600 permanent positions and 500 temporary construction jobs. The expansion will generate more than $50 million in new tax revenue for Boston. Liberty Mutual purchased a former Salvation Army office in the city and will demolish the building this fall. In its place a 25 story, 580,000 square foot office building will be constructed.

Mayor Thomas Menino believes the expansion and hiring will be a “shot in the arm” to Boston’s economy. He also said, “Putting people back to work is a top priority…Creating jobs-600 permanent and 500 construction jobs-as local unemployment numbers are at an all-time high is my focus.” In December Boston’s unemployment rate reached 8.3%, up 6% from the end of 2008.