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United States

Siemens to lay off 615 in US

UNITED STATES: Siemens has announced it is to lay off 615 of its staff from plants across the US.

A Siemens 2.3MW goes up at Nevada's Spring Valley wind farm
A Siemens 2.3MW goes up at Nevada's Spring Valley wind farm
The employees, who represent around 37% of the German company's total US workforce, will be shed from its nacelle plant in Kansas, its blade plant in Iowa and from the company's US headquarters in Orlando, Florida.

The biggest losses will be Iowa, where 407 staff will be out of work.

In a statement the company said the cuts were necessary because of the falling market demand for turbines, in part due to the fact that Congress has not yet decided whether or not to extend the production tax credit.

"As a result, following the rapid ramp-up of the wind power industry over the past five years, the industry is facing a significant drop in new orders, and this has an unfortunate consequence on employment in this segment of the power industry.

"Now, we have had to make the difficult decision to adjust the manufacturing, projects and administrative support functions of our wind power operations to reflect the current and projected business volume," the company said.

Siemens joins other leading manufacturers in the US such as Clipper and Vestas in announcing job cuts.

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