GE says it will slash 6,500 European jobs as part of Alstom takeover

General Electric said Wednesday that it would cut some 6,500 jobs in Europe as part of a plan to integrate the energy division of France's Alstom, a sale that was approved last year by Europe's competition authorities.

Confirming reports in French media, a spokesman for the US energy giant said 765 jobs in France would be cut. Separately, the Frankfurt office of the company said up to 1,700 jobs in Germany could be affected.

GE struck a 12.5-billion-euro (13.5-billion-dollar) deal in 2014 to buy Alstom's thermal power, renewable power and grid business. The European Commission approved the deal last November on the condition that Alstom sells part of its heavy-duty gas-turbine business to an Italian rival.

In statements, GE said that the restructuring was aimed at bolstering competitiveness and added that it expect to see a net increase in jobs in France in the longer term. The company employs 35,000 people across Europe.

GE is a multinational conglomerate, active in sectors including energy, aviation, health care and transport, while Alstom is best known as the maker of the high-speed TGV train.

Last update: Tue, 28/06/2016 - 17:25
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