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“Waukesha is losing a part of its history:” GE to end manufacture of gas engines in Waukesha
"Waukesha is losing a part of its history:" GE to end manufacture of gas engines in Waukesha
WAUKESHA -- The Milwaukee Business Journal reports that GE announced on Monday, September 28th that it plans to build a state-of-the-art “Brilliant Factory” in Canada with manufacturing capacity for multiple business lines including its Power & Water, Oil & Gas and Transportation groups. That move would bring an end to the manufacturing of orange gas engines in Waukesha.
GE Power & Water Waukesha
It's a huge blow for the city of Waukesha and 350 workers at its GE Power & Water factory, and it has some blaming Congress.
The company said Monday it notified employees in Waukesha and more than 400 U.S. suppliers of its plans. In Wisconsin alone, suppliers generate about $47 million in revenue from the Waukesha plant.
The news came as a surprise to many, especially considering the GE factory in Waukesha was recently the focus of national praise and attention.
Pres. Obama at Waukesha's GE Engine Plant
It has been 20 months since President Barack Obama came to GE in Waukesha -- praising the company.
"The past four years, you`ve grown your manufacturing workforce by nearly half," President Obama said.
"This is not something we planned for," Shaun Wiggins with GE Power & Water in Waukesha said.
GE officials are blaming the move on Congress -- for failing to reauthorize the Export-Import Bank of the United States. That bank allowed foreign governments and companies to take out loans to buy GE products.
GE Power & Water Waukesha
"In many of the markets overseas, we must have that financing in order to even enter negotiations for contracts," Wiggins said.
Officials with a union representing the manufacturers who will lose their jobs released a statement blaming GOP leaders and company officials:
Congressman Paul Ryan issued this statement:
Waukesha Mayor Shawn Reilly says he wants lawmakers to reauthorize the Export-Import Bank. He says there are manufacturing jobs in the area, but workers will likely have to take a pay cut. Then, there's Waukesha's pride in the long history of manufacturing at this particular facility.
GE
"If this plant isn`t here, Waukesha is losing a part of its history. Those engines are all over the entire world," Reilly said.
Reilly issued the following statement in relation to the GE move:
Senator Ron Johnson issued this statement:
Congresswoman Gwen Moore issued this statement:
Milwaukee Mayor Tom Barrett has drafted a letter to Governor Scott Walker, asking that Walker join him in "demanding Congress take the appropriate action to save these jobs, and perhaps, thousands of other Wisconsin jobs."
READ IT: Letter from Milwaukee Mayor Tom Barrett to Governor Walker on GE, Export-Import Bank.
About 600 people work at the GE plant in Waukesha. The 350 losing their jobs should get severance and job training. The other 250 will stay within the company.
The plant closure will happen over the next 18 to 32 months.
CLICK HERE to read much more about this story in the Milwaukee Business Journal.
Monitor FOX6 News and FOX6Now.com for updates on this developing story.