GE’s Power Division to Eliminate 12,000 Jobs After Misjudging Demand

8 Dec 2017   Coal, USA

Workers on a gas-turbine assembly line at the General Electric plant in Greenville, S.C., on Jan. 10, 2017. General Electric Co. said Thursday it was cutting 12,000 jobs in its power business, or nearly 18% of the unit’s workforce, as the conglomerate slashes costs and battles overcapacity in an industry in upheaval. GE’s Power unit has been a drag on earnings for the struggling company as global demand has dropped in tandem with GE integrating its acquisition of power assets from France’s Alstom SA . GE has said it misjudged the market as volume dropped in traditional coal and gas-fired power, while renewable energy sources grew. Read More The shrinking of the power business is part of a broader reorganization at GE under new Chief Executive John Flannery, who last month cut the once-sacred dividend in half and sharply lowered profit targets. The power business, which makes turbines for […]

Tags:

Comments are closed.