Saturday, July 11, 2009

The Sun Is Setting On GE

GE to bring 1,200 jobs, manufacturing tech center to Van Buren Township

General Electric Co. plans to open a manufacturing technology center and eventually employ about 1,200 workers in Van Buren Township, it announced today.

Expected to open later this year, the Advanced Manufacturing and Software Technology Center will include a GE research and development facility with scientists and engineers.

They will develop manufacturing technologies for GE's renewable energy, aircraft engine, gas turbine and other products. They will also will develop software, networking and other services.

It is planned to open in the Visteon Village corporate park in the township located in the western portion of Wayne County bordering Washtenaw County.

Hiring is expected to begin later this year.

GE, which is based in Fairfield, Conn., says it will build a 100,000-square-foot facility to house the manufacturing center. The state of Michigan is providing $74 million in incentives over the next 12 years to support the center, which is expected to yield $146 million in income taxes and other revenue over the same period, Gov. Jennifer Granholm said.

Not five minutes ago I just talked to somebody who works for General Electric and is in *tech*....

They told me that the company has no business need whatsoever for the new *tech center* in that economic wasteland known as Michigan; that it makes no sense at all to funnel work out there; and that this was announced to their department in such a ridiculous queer manner so as to leave everyone dumbfounded.

They said this was clearly a 100% politically-motivated, publicity-driven decision.

So there you have it; this is how far we've fallen....

America's biggest, and once best, companies are, like almost everyone else, officially *wards of the state*.

GE is so bankrupt, and so dependent on Big Government largess now that not only are they willing to bend over for their upcoming bailout(s)....

....they'll gladly don a flimsy little skirt for THE MAN - as per his fancy!


Anonymous said...

I am not at all sure you can make that call on GE based on a couple of employees. Maybe they plan on getting in with the Detroit auto factories to work on new engine tech and proximity will help? Maybe they intend to take advantage of lower labor costs in a state like MI with massive unemployment? Maybe the well paid folks in the NE corridor are in for a rude awakening with regards to their jobs. GE is not scared to cut out a high cost facility for a low cost one.

Not saying your wrong, but it is way too early to tell.


CaptiousNut said...

GE is broke because of European commercial RE investments, GE Finance, and overall too much leverage to *growth*.

I wasn't extrapolating from this anecdote. Note the stock fell below 5 or so 3 months ago.