Article 15
Dr. House slayer
- Jul 4, 2008
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General Electric Co. has made an unusual offer to the state: Give us $25 million in tax credits, and we wont cut any more than 150 positions at our aircraft engine plant in Lynn.
The conglomerate has already cut the Lynn plants workforce by 600 jobs and could cut 150 more. But General Electric said that if it receives the state aid to help fund a $75 million retooling of the plant, it would maintain the remaining 3,000 jobs for six years.
Typically the state grants tax breaks to companies that create not cut jobs, making the General Electric request unusual. State officials said they cannot recall another case of a company asking for tax subsidies while warning it will continue to reduce employment.
Were now having to pay companies not to fire people, said Deirdre Cummings, legislative director of the Massachusetts Public Interest Research Group, a consumer group. This is throwing economic development subsidies on its head.
GE says tax credit would limit Lynn layoffs - The Boston Globe