Officials of GE Transportation in Erie announced Tuesday the temporary layoffs of about 200 employees, and speculated that more than 1,000 jobs could be lost if the company follows through with plans to move several product lines to Texas.
The company says they will make a final decision about the moves after a 60-day time frame has passed. There was no word as to whether company operations in Grove City would be affected. GE Transportation last year announced a $70-million upgrade for its Grove City facility, which was to include the construction of a diesel engine plant.
If Erie facilities are transferred to Texas, some 950 union jobs and about 100 management positions in Erie would be eliminated, according to Tuesday’s announcement. The company blames a slowdown in the demand for locomotives, prompted in part because of the same slump in mining activities that brought about some 350 layoffs at Franklin-based Joy Global last year and about 500 at related industry Caterpillar last week.