11–20 of 41 posts
This coming within a week of them being handed a giant tax cut...
Why can't GM re-tool and redeploy those in steam and nuclear generation sectors to work on renewables? The coming wave of solar / wind deployments will be the largest power-related chunk of capex in a generation.
Earlier quoted context omitted.
No tax cuts have been signed in to law yet. I imagine most folks take a look at the Republican Congress and choose to hedge their bets at this point.
Sorry yes, to clarify they have not yet been signed but... passing the senate was the hurdle that I expected them to have the most issue with. At this point the GOP's image would be seriously damaged if negotiation on the particulars of reconciling the bill fell through.
This coming within a week of them being handed a giant tax cut...
I don't understand how anyone thinks the tax cuts will have an impact on hiring or wages. Companies are already making record profits so if they had a need for hiring people they could afford it already. They also could afford to increase wages now if they saw a need. The tax cut money will probably go into stock buybacks or dividends.
The ways you increase workers take home pay through tax reform are:
(1) reduce taxes workers pay on labor income (either income taxes or employee-share payroll taxes), or
(2) reduce taxes businesses pay for hiring workers (employer share of payroll taxes).
The latter is also how you increase before-tax employee pay through tax reform, since for the same total cost the employer can pay a higher nominal wage.
This coming within a week of them being handed a giant tax cut...
I don't understand how anyone thinks the tax cuts will have an impact on hiring or wages. Companies are already making record profits so if they had a need for hiring people they could afford it already. They also could afford to increase wages now if they saw a need. The tax cut money will probably go into stock buybacks or dividends.
Look outside Asia. Who is investing in Africa? yep. China. They build roads, rail lines, power networks, in return for the coltan.
GE as an IPR company doesn't need the same number of people as GE as a build-and-ship company. GE will continue to exist as a bespoke engineering design entity. Maybe GE is becoming ARUP?
Something has gone very wrong at the GE board. They invested $10B+ in 2015 in the power business, which they now axe. They just took over Baker Hughes (last June), which they now want to get rid of.
The last sentence says it all. Its not that there is no market for GE's type of skills, its that there are competitors from other places. That includes people located in the primary growth market footprint, of Asia. So GE would be competing with European and North american salary and cost models, against people every bit as good (and they are) but from a different cost model, and even if you equalize for that the asi…