Four years ago, General Electric (GE) made a commitment to win France’s approval to buy Alstom’s energy business: it would create jobs or pay a hefty fine. The Boston-based company pledged it would add 1,000 positions in France by end-2018, failing which it would pay the French government a fine of €50,000 for every job not generated. While the French finance ministry says GE had created 323 jobs as of end-April 2018, unions and local officials contest the number, leaving the company facing a maximum fine of €50m. The government of French President Emmanuel Macron is set to come knocking at GE’s door for its cash in the next few weeks, a French official said, asking not to be identified in line with government rules. The funds will be earmarked for fostering businesses in the areas where the jobs were supposed to be created, the official said. GE’s problems in France exacerbate its woes at home, with 127-year-old the company being dismantled following the ouster of two CEOs in quick...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, ProfileData financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now