1. ITV Report

GE Power plans to cut 1,100 jobs jobs from its UK business

GE Power say market conditions have affects its economic performance. Credit: AP

GE Power is proposing to cut 1,100 jobs from its UK business as part of an organisational restructure, the firm has announced.

The planned losses will primarily affect Stafford and Rugby, with the total potential losses representing around 6% of the company's UK workforce.

GE has approximately 18,000 employees working at 65 sites in UK.

Employees in the affected division were informed of plans for a consultation period on proposals on Thursday.

GE said market conditions have had a "significant impact" on its economic performance.

It added that demand for new built power plants had "dramatically" dropped in all OECD countries.

A statement said: "Traditional utility customers have reduced their investments due to market deterioration and uncertainty about future climate policy measures.

"Today's actions are driven by challenges in the power market worldwide."

It added: "To get back to competitiveness GE Power needs to remove cost substantially from its businesses."

Mark Elborne, President and CEO of GE UK & Ireland, said the proposed changes are regrettable.

These are not proposals we ever make lightly and we understand that this news will be difficult for many people. Unfortunately, we believe that these changes are necessary to ensure that we can remain competitive and secure the future of GE Power in the UK.

We have shared our proposals with employees’ representatives today and will now begin a consultation period before any final decisions are made.

– Mark Elborne, CEO of GE UK & Ireland,