As Demand for Renewables Grow, GE Cutting Workers at Onshore Wind Division

As Demand for Renewables Grow, GE Cutting Workers at Onshore Wind Division

General Electric is cutting workers at its onshore wind unit as part of a plan to restructure and resize the business, which "is grappling with weak demand and rising costs," NASDAQ reported.

The layoffs and reduced production may impact the efforts of states like Rhode Island, which have pledged that all of the state's electricity would be produced by renewable sources by 2033.

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In July, Governor Dan McKee signed legislation mandating that the state acquire 100% of its electricity from renewable sources -- it is the most ambitious mandate in the United States.

Much of Rhode Island's renewable strategy is tied to offshore wind projects, but Rhode Island has about two dozen onshore windmills across the state.

 

Layoffs Hit Across the World

According to the report, GE notified workers in North America, Latin America, the Middle East and Africa about the cuts this week, and it plans to cut the unit's onshore wind workforce in Europe and Asia Pacific later.

The cuts are expected to affect 20% of the unit's workforce in the U.S., which would equate to hundreds of workers, according to the report.

The onshore wind unit is the largest of GE's renewable businesses.

GE said the unit has been battling higher raw material costs due to inflation and supply chain pressures.