January 3, 2021

GE Current: Layoffs and Potential Relocation

2022 01 Ge current layoffs.jpg

The company is reconsidering an expected relocation while some jobs are cut.

GE Current, a Daintree Company, has been juggling many priorities as it closed out 2021. While the company is preparing to close on the acquisition of Hubbell Lighting in early 2022, it is also exploring a headquarters relocation and concurrently executing a reduction in force.

Relocation:
Since mid-2021, Current has been exploring various new office locations in the Cleveland, Ohio metro area. The company is currently headquartered at historic Nela Park in East Cleveland. A Current spokesperson informed us in August that the plan would be to keep some staff at Nela Park, including the training center, and find other office space in the metro area.

In August, the nearby suburb of Beachwood reportedly approved incentives in the forms of grants and rebates when Current was eyeing a move to the Commerce Park section. According to Cleveland Jewish News, the package included a job creation incentive grant for 10 years, a $500,000 job creation occupancy grant and a rebate of certain permitting fees in connection with job creation.

We spoke with a Current spokesperson last week who informed us that while the company was at one point close to signing a written agreement, no signed contract has yet emerged and Current is now reconsidering the move to Beachwood. The spokesperson stated that the potential relocation plans are postponed and other potential office locations “are on the table” as the company is “back in talks” with the Beachwood location and others.

Reduction in Force:
Since early December, we have received multiple reports of a Current reduction in force that was described as “major” and “significant” by some. We discussed this matter with a Current spokesperson on December 10, and again last week, and were not given any guidance to quantify how many people have lost their jobs. Current did not file notice with The Ohio Department of Job and Family Services, which would be necessary if the reduction in force was greater than 50 employees.

At the same time, Current is advertising multiple new positions, citing expansion through the impending Hubbell Lighting acquisition as the cause for the new job openings. The jobs are finance-related with titles like Staff Accountant, Financial Analyst and Manager, Indirect Taxes.

Hubbell Lighting Acquisition Timeline:
Current tells us that they are “still on track” to close on the acquisition of Hubbell Lighting in the first quarter of 2022.