The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Manufacturing Manufacturing Of Machinery And Equipment Manufacture Of Machinery And Equipment N.E.C. 28.11 - Manufacture of engines and turbines, except aircraft, vehicle and cycle engines
100 jobs Number of planned job losses
500 jobs Number of planned job creations
Announcement Date
15 September 2015
Employment effect (start)
15 September 2015
Foreseen end date
31 December 2016
Description
US multinational conglomerate General Electric has announced plans to shift up to 500 jobs to Europe and China from the US. The decision concerns employees in General Electric's turbine manufacturing division. GE plans to move 100 jobs associated with the assembly of gas turbines from Houston, Texas, to Hungary and China by 2016. A further 400 jobs associated with the manufacture of gas turbines will be created in Belfort, France rather than at GE sites in South Carolina, Maine and New York if the company wins pending deals. GE already has employees in all three locations. No US facilities will close, according to GE.
The decision comes in response to the lapse of the charter of the US Export-Import Bank, the official export credit agency of the United States, on 30th June. There is political uncertainty as to whether the US Congress will renew the Bank's charter this year. General Electric has argued that backing from an export credit agency is a precondition for success on several major international projects it is currently bidding for. According to media sources, about 80 per cent of GE's turbines are exported to countries where export credit agency funding is required. Many such agencies require beneficiaries to have significant operations in the country where the agency is based, which is the reason for the relocation of jobs.
GE could benefit from access to export credit agencies in Hungary and China. In France, it has already obtained assurances from the French export credit agency, Coface, that the agency will provide backing for a substantial portion of the $11 billion worth of international power projects that General Electric is bidding on.
The conglomerate has approximately 300,000 employees overall.
Sources
15 September 2015: Reuters
15 September 2015: The Washington Post
Citation
Eurofound (2015), General Electric, Business expansion in World, factsheet number 84716, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/84716.
Digitisation and automation technologies, including artificial intelligence (AI), can affect working conditions in a variety of ways and their use in the workplace raises a host of new ethical concerns.
The retail banking sector is fertile ground for studying the impacts of digitalisation on work and employment. Financial services are increasingly provided online, without the intermediary of customer-facing institutions.
European labour markets have recovered strongly from COVID-19. By the end of 2021, little more than 18 months after the start of the pandemic, employment rates in the EU were almost at pre-crisis levels.
