Wednesday, February 11, 2009

GE Transportation cuts, furloughs workers

Written by  Luther S. Miller, Senior Consulting Editor

General Electric Co. Wednesday said it will cut 350 jobs, and furlough 1,200 employees, at GE Transportation due to the economic climate, affecting roughly 14% of the 11,400 workers in the subsidiary. About 150 salaried workers and 250 hourly workers will be let go.

Erie, Pa.-based GE Transportation also said it expects locomotive production to decline by more than 40% in 2009 compared with 2008. More than 50% of the company’s backlog is slated for 2010 and 2011.

“The overall economic downturn is substantial and we at GE Transportation are not immune," said GE Transportation President and CEO Lorenzo Simonelli in a statement.