The cuts will be made to its GE Power Unit, and while it is not yet clear where and when the reductions will occur, company officials said they would include “professional and production employees,” USA Today reports.
On Wednesday, it was reported that GE had announced plans to eliminate 4,500 jobs in Europe from its French conglomerate Alstom’s power and grid businesses. Both moves have been attributed to CEO John Flannery’s plan to refocus the company on its healthcare, aviation and energy businesses.
GE said the cuts would contribute to its plans to strike $3.5 billion in “structural costs” in 2017 and 2018, which includes a $1 billion cost-cutting plan in 2018 targeting the GE Power business.
“This decision was painful but necessary for GE Power to respond to the disruption in the power market, which is driving significantly lower volumes in products and services,” GE Power CEO Russell Stokes said in a statement, according to USA Today. “Power will remain a work in progress in 2018. We expect market challenges to continue, but this plan will position us for 2019 and beyond.”
More articles on health IT:
Cryptocurrency company hacked, customers speculate $63M in losses
Facebook allowed scam, malware ads on its site
Bitcoin surges $10k in 1 month, reaches top value so far
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.
