Manufacturers

France Fines GE $57M for Missing Target on Promised Job Creation

Baden, Switzerland – November 2, 2015: The General Electric logo, installed at the former Alstom thermal power headquarters.

Bloomberg News and other sources are reporting that France will fine General Electric Co. 50 million euros ($57 million) for creating fewer than 3 percent of the jobs it had promised as a condition for getting the green light to take over Alstom SA’s energy business in a deal that stirred political controversy.

The Boston-based company added a net of 25 jobs over the past three years compared with the 1,000 it had pledged, French Finance Minister Bruno Le Maire said in a statement Tuesday (translation here). The money will be put into a state-operated fund designed to boost industry. The statement also said that GE plans to develop its renewable energy division in France.

A GE spokesman said Tuesday the company “did its utmost to create jobs and meet its contractual commitments” in a difficult market.

GE employs about 16,000 people in France including in renewable energy and health care. The government on Tuesday said it has created 3,000 jobs and invested almost 1 billion euros in the country during the past three years.

More details can be found on this tEDmag.com post from January 15, 2019.

 

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