GE Pays No Incomes Taxes and Now Wants Workers to Make Concessions
You've likely already read Lauren Kelley's piece from last week about how GE is milking the system like you've never seen before. The company made $14.2 billion, $5.1 billion of which came from the US, but, through some creative bookkeeping, GE paid no US taxes. That's right, none. And to make matters worse they actually claimed a $3.2 billion tax benefit. So, that means we owed them money!
Can this story get any worse?
Apparently, yes. Mike Elk reports, "After not paying any taxes and making huge profits, ThinkProgress has learned that General Electric is expected to ask its nearly 15,000 unionized employees in the United States to make major concessions."
Elk writes that GE is negotiating contracts with 14 unions representing 15,000 workers and the company is looking for these workers give up benefits.
Among the major concessions GE has signaled that it will ask of union workers is the elimination of a defined contribution benefit pension for new employees, a move the company has already implemented for its non-union salaried employees. Likewise, GE is signaling to the union that it will ask for the elimination of current health insurance plans in favor of lower quality health saving accounts, a move the company has already implemented for non-union salaried employees as well.
In addition, General Electric may ask some workers for a wage freeze.
Say what? Making billions, not paying taxes and then stiff-arming your workers?! GE is apparently shameless. But the workers aren't taking this -- "They have planned a rally that is expected to attract 10,000 workers from all over the country at the General Electric Locomotive Factory in Erie, PA on June 4th," writes Elk. Let's give them our support.