France's Alstom to cut 4,000 jobs

4th October 2010, Comments 0 comments

French engineering group Alstom will cut 4,000 jobs by March 2012 in some of its power-generating operations in Europe and North America, the company said on Monday.

Alstom said in a statement it planned "the reduction of around 4,000 positions before March 2012 in the activities dedicated to new equipment for thermal power generation (coal, gas), as well as in the central functions of the sector."

Its wind- and water-powered power operations are not part of the plan.

The group builds power stations as well as French TGV high-speed trains.

"Of the 4,000 positions involved, more than 1,000 would come from the non-renewal of temporary contracts and from the non-replacement of people leaving," it said.

The cuts affect the company's operations in "Europe and North America where the new equipment markets for coal and gas power plants are most affected by the economic crisis."

Switzerland, Germany and the United States will be most affected, with other sites also concerned in Britain, Hungary, Norway and France.

Over the year to March 2010, Alstom reduced its workforce by 5,000 people as part of accelerated efforts to cut costs in response to the economic slowdown.

Those cuts brought its total workforce to about 76,500 people.

© 2010 AFP

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