Madmallard
.223 Rem
Schenectady
General Electric Co. CEO John Flannery plans to cut $1 billion in costs out of its GE Power business, which is headquartered locally.
The news, which Flannery announced Monday morning during an investor meeting in New York City, is part of Flannery's plan to slash costs at GE and narrow its focus.
It is unclear how many jobs would have to go in Schenectady to achieve that goal, although that size cost reductions couldn't come without a significant amount of job cuts.
GE Power has employees around the world but is headquartered in Schenectady, where GE has a large downtown campus that dates back to its founding by Thomas Edison. The campus is home to 4,000 employees, a major portion of which are GE Power workers.
One of the slides in Flannery's presentation says: "Power + EC integration... HQ layer elimination"
It is unclear what that means exactly, but EC stands for GE Energy Connections, a business based in Atlanta that GE is merging into GE Power, which until now has been considered to be headquartered in Schenectady.
However, these days it is unclear if GE still considers GE Power to be headquartered in Schenectady.
Back in June, when Flannery was named to replace Jeff Immelt as CEO of GE, one of his rivals for the job, Steve Bolze, left GE.
His replacement, Russell Stokes, is based in Atlanta, where he had been leading GE Energy Connections. Stokes is in the process of merging GE Energy Connections into GE Power, what GE is calling the "new" GE Power.
That means that the center of influence at GE Power has clearly shifted to Atlanta. However, the question of where the actual physical address of the GE Power headquarters is more elusive.
GE Power spokeswoman Katie Jackson, who is based in Schenectady, won't entertain the question about where GE Power's headquarters is located or will be located going forward.
GE planning $1 billion in cuts at Schenectady-based unit
General Electric Co. CEO John Flannery plans to cut $1 billion in costs out of its GE Power business, which is headquartered locally.
The news, which Flannery announced Monday morning during an investor meeting in New York City, is part of Flannery's plan to slash costs at GE and narrow its focus.
It is unclear how many jobs would have to go in Schenectady to achieve that goal, although that size cost reductions couldn't come without a significant amount of job cuts.
GE Power has employees around the world but is headquartered in Schenectady, where GE has a large downtown campus that dates back to its founding by Thomas Edison. The campus is home to 4,000 employees, a major portion of which are GE Power workers.
One of the slides in Flannery's presentation says: "Power + EC integration... HQ layer elimination"
It is unclear what that means exactly, but EC stands for GE Energy Connections, a business based in Atlanta that GE is merging into GE Power, which until now has been considered to be headquartered in Schenectady.
However, these days it is unclear if GE still considers GE Power to be headquartered in Schenectady.
Back in June, when Flannery was named to replace Jeff Immelt as CEO of GE, one of his rivals for the job, Steve Bolze, left GE.
His replacement, Russell Stokes, is based in Atlanta, where he had been leading GE Energy Connections. Stokes is in the process of merging GE Energy Connections into GE Power, what GE is calling the "new" GE Power.
That means that the center of influence at GE Power has clearly shifted to Atlanta. However, the question of where the actual physical address of the GE Power headquarters is more elusive.
GE Power spokeswoman Katie Jackson, who is based in Schenectady, won't entertain the question about where GE Power's headquarters is located or will be located going forward.
GE planning $1 billion in cuts at Schenectady-based unit
