ERIE, Pa. -- GE Transportation Systems will cut about 1,100 jobs,
including 900 at the locomotive maker's operations in Erie, a wire
The Erie-based company said Wednesday it is cutting jobs because of a continuing decline in orders for new locomotives. Jeff DeMarrais, a spokesman for GE Transportation Systems, said orders dropped from 911 in 1999 to 550 last year.
Orders were expected to fall to about 350 locomotives this year, he said.
“Our production schedule for 2002 is down about 40 percent from last year,” DeMarrais said. “We need to adjust our work force and cost structure to the lower volume levels we expect.”
The reductions are expected to be made through early retirements and layoffs. DeMarrais also said the company is negotiating with unions to restructure the company.
Other cuts in positions are expected at GE Transportation Systems' facility in Melbourne, Fla., and other locations. DeMarrais said he could not say where the additional cuts would be made or how many reductions would be made at the Florida plant.
Workers at GE Transportation Systems' facility in Grove City, where engines for the locomotives are made, aren't expected to be affected, DeMarrais said.
GE Transportation Systems currently employs about 8,000 people worldwide.