The company told employees that they estimate that 1,000-1,300 employees will be based in downtown Raleigh once the merger is complete compared to the roughly 2,000 that are there now.
"Our goal is to minimize the number of people who lose jobs in the integration by managing vacancies, taking advantage of natural attrition and implementing the voluntary severance program," Progress Energy said in statement.
Earlier this year, Duke bought its North Carolina rival for $13.7 billion in stock. The merger will consolidate corporate functions to their Charlotte headquarters.
However, Progress Energy said there will still be a number of functions based in Raleigh including, the North Carolina utility president, two senior executives, some positions that provide support for regional assets and customers, and selected major project-management support for existing Progress Energy Carolinas projects.
In addition to ongoing support of regional operations, a majority of information technology resources will remain in Raleigh over the next several years.
Employees will work out of the Progress Energy Building on South Wilmington Street. The company will also sublease the Two Progress Plaza facility to Red Hat.