In a move that seemed designed to satisfy both business leaders and his democratic socialist supporters in New York City, Mayor Zohran Mamdani on Wednesday appointed two people to head the Economic Development Corporation whose vision for the agency might seem at odds.
Anthony E. Shorris, a veteran of city government and a partner at the global consulting firm McKinsey & Company, will serve as president. Lina Khan, the former chair of the Federal Trade Commission and an advocate for strong government regulation, will serve as the board chair.
The announcement by Mr. Mamdani, a democratic socialist, comes as his administration has sought to shift the focus of the agency. The corporation, known as E.D.C., is a municipally run nonprofit designed to drive economic growth by creating jobs and encouraging economic development.
Mr. Mamdani has said he wants the organization to also focus on economic justice. The business community has expressed concerns about that shift and questioned whether the mayor was being inattentive to the city’s economy.
Those concerns heightened after The New York Times disclosed a memo, circulated by Julie Su, the deputy mayor for economic justice, that demanded that every E.D.C. program be re-evaluated to ensure the organization was not focused solely on economic growth, but also on justice.
Mr. Mamdani, speaking at a news conference at City Hall, said that he believed “that economic development and economic justice must go hand in hand. This is no radical concept.”
Mr. Shorris’s appointment was applauded by the city’s business, union and political leaders.
In a statement, Carlo Scissura, president and chief executive of the New York Building Congress, said Mr. Shorris would “truly bring together housing and economic development and growth.” Richard R. Buery Jr., chief executive of Robin Hood, an anti-poverty organization, said Mr. Shorris had the “cross-sector credibility” to spur job growth while focusing on “equity and economic justice” for city residents.
The city’s news release announcing the appointments did not include anyone other than the mayor or Mr. Shorris praising Ms. Khan, one of the most influential advisers helping to shape the Mamdani administration’s goals.
Ms. Khan is regarded as an antitrust crusader. During her time as chairwoman of the F.T.C., she sought to block acquisitions by Meta and Google. She filed suit against Amazon, accusing them of protecting a monopoly over online retailers.
During Mr. Mamdani’s transition to becoming mayor, Ms. Khan led a team that scoured city laws to find executive and regulatory actions that Mr. Mamdani could take during his first days in office to protect workers and lower costs. The administration has since unveiled several initiatives to protect workers, renters and consumers.
“It’s obvious the mayor is trying to strike a balance between his commitment on jobs and economic growth and economic justice,” Kathy Wylde, the former president of the influential business advocacy group the Partnership for New York City, said in an interview. “The appointment of Shorris and Khan does that.”
On Wednesday, Ms Khan praised the agency’s role in building the economy and driving growth. She emphasized that those goals were not out of line with economic justice.
“E.D.C. has key tools to drive projects that grow our economy, create good jobs, promote entrepreneurship and make life more affordable for New Yorkers,” Ms. Khan said at the news conference.
Steven Fulop, the current head of the Partnership for New York City, praised Mr. Shorris but said Ms. Khan’s appointment sent a “mixed message to the business community” that raised concern about the agency’s direction.
Ms. Khan’s reputation has been “built on an adversarial approach to large enterprises at the federal level,” Mr. Fulop said in a statement, noting that the Economic Development Corporation’s mission is to support growth and investment in the city.
“It’s unclear to us the ultimate direction E.D.C. will be taking and how this will play out over time,” Mr. Fulop added.
This is a developing story. Check back for updates.
