Home Business General Electric to Cut 6,500 Jobs in Europe

General Electric to Cut 6,500 Jobs in Europe


General Electric has announced it is planning to cut up to 6,500 jobs in energy units it bought from French engineering giant Alstom over the next two years.

The figure includes 765 jobs to go in France.

To secure the deal last year, GE had soothed French government concerns by pledging to create 1,000 jobs in the country.

A GE spokesman said the company would stick to its pledge, creating the roles in the next three years.

In Europe as a whole, staff in Alstom’s renewables, power services and energy management divisions could be affected.

A spokesman said unions had been informed.General Electric job cut Europe

“This is a plan, which could change following discussion with employee representatives,” he added.

Around 1,300 of the layoffs will be in Switzerland, the company said.

In May 2015, GE pledged to create jobs in France as part of efforts to calm French government concerns about the company’s proposed acquisition of Alstom’s energy units.

At the time, both GE and Siemens were in talks with the French government to try to secure a deal.

The French government had previously given itself powers to block foreign takeover bids for companies deemed “strategic”.

GE’s takeover of Alstom’s energy business – which includes gas and steam turbines, wind turbines, turbines for hydro dams and power grids – added about 65,000 employees to GE’s workforce of about 305,000.

The head of GE’s power division said in September 2015 the company would seek to make $3 billion in cost savings over five years from the Alstom acquisition.

Clyde is a business graduate interested in writing about latest news in politics and business. He enjoys writing and is about to publish his first book. He’s a pet lover and likes to spend time with family. When the time allows he likes to go fishing waiting for the muse to come.