October 31, 2007
GE to create 500 new jobs and invest more than $39 million in Schenectady
GE will add 500 professional jobs and invest more than $39 million at GE Energy's power generation headquarters in Schenectady, the company announced Wednesday.
Governor Eliot Spitzer and other top state and local officials joined company representatives at a Schenectady event announcing the expansion. GE said it will receive more than $7.5 million in state and local incentives as part of the expansion.
"GE has been a part of the Schenectady community for over 120 years, and this new investment will provide needed employment opportunities that will serve as a springboard for the city's future," Governor Spitzer said in a release. "GE's decision to expand its operation in Schenectady demonstrates that our economic development strategies are working."
"This is an excellent example of the global market driving local growth," said Steve Bolze, president-power generation for GE Energy. "We are seeing a dramatic, global increase for cleaner and more efficient ways of producing energy. By expanding our existing resources, we are investing now to ensure we continue to deliver technology solutions that will meet our customers' growing requirements in the years ahead."
Business Council President Kenneth Adams hailed the news.
"GE is a great part of New York's industrial heritage and a longtime leader in both research and development and in turning innovations into jobs and prosperity," Adams said. "New York is fortunate that this long-time technological leader will remain a key to our ongoing efforts to develop a vibrant, innovation-based economy."
The $39 million project is expected to be completed in 18 months, and the company has pledged to fulfill its hiring goal of 500 jobs by 2011, the Governor's release said. The new employees will provide engineering support to multiple divisions throughout GE and are expected to earn an average wage of $75,000 a year.
GE's release, citing data from the U.S. Energy Information Administration, noted that global demand for energy is expected to increase by more than 50 percent over the next two decades, with use in developing countries expected to increase by more than 90 percent and demand in industrialized nations increasing 33 percent.
Senate Majority Leader Joseph Bruno said, "General Electric's latest efforts to expand their wind turbine and renewable energy divisions will address a major problem that is crippling small businesses throughout New York State—rising energy costs—and will create good-paying jobs for New Yorkers."
Assembly Speaker Sheldon Silver said, "The Assembly Majority has a longstanding commitment to create jobs and spur economic development throughout Upstate, including early support for nanotechnology in Albany and assistance to help keep Beech-Nut in Montgomery County."
Empire State Development (ESD), the state's lead economic-development agency, will provide a $5 million grant for the reimbursement of renovation costs, the Governor's release said. Additionally, property tax abatements of approximately $825,000 have been evenly divided between Schenectady County and city of Schenectady for ten years, and Schenectady will provide $2 million in sales tax savings on investments for building materials, furniture, and fixtures, the release added.