GE to cut over 1,000 jobs in French power operations

GE has announced another wave of job cuts in France as it struggles with slumping demand for its gas turbine operations
GE has announced another wave of job cuts in France as it struggles with slumping demand for its gas turbine operations

US industrial conglomerate General Electric said Tuesday that it would cut more than 1,000 jobs mainly at its gas turbine operations in eastern France, part of a wave of European layoffs as it tries to stem losses in its power generation business.

The 1,044 , long feared by unions, could become a political challenge for President Emmanuel Macron, who assured local officials this month that the government was following the matter with "the utmost vigilance".

The cuts will be made mainly in Belfort, eastern France, the European headquarters for GE Energy, and in the Paris region, the said in a statement.

"More than half the number of employees in the gas activities... are going to lose their jobs," the mayor of Belfort, Damien Meslot, and other local officials said in a statement.

They warned of "a new hardship" for the region, which has been hit hard by the decline of mining and heavy industry over the past decades.

Overall, GE employs nearly 4,000 people in Belfort, including 1,900 in its gas turbine operations.

The company has struggled for years with slumping demand for its because of low oil and gas prices, and the operations were a key factor in its massive annual loss of $22.8 billion last year.

In 2015 GE announced 6,500 job cuts across Europe, and two years later it revealed a further 12,000 cuts.

That prompted France to fine the company 50 million euros ($56 million) earlier this year, since GE had promised to create at least 1,000 new when it announced the purchase of the power businesses from France's Alstom in 2014.


Explore further

General Electric to cut up to 468 jobs in France: unions

© 2019 AFP

Citation: GE to cut over 1,000 jobs in French power operations (2019, May 28) retrieved 23 August 2019 from https://phys.org/news/2019-05-ge-jobs-french-power.html
This document is subject to copyright. Apart from any fair dealing for the purpose of private study or research, no part may be reproduced without the written permission. The content is provided for information purposes only.
8 shares

Feedback to editors

User comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more