Tags: Money | General Electric | profit | taxpayers

Money Is All That Counts for General Electric

Money Is All That Counts for General Electric

By Tuesday, 08 September 2015 11:40 PM Current | Bio | Archive

Visit General Electric’s home page and you will see tales of “Imagination at Work.” The old tagline about bringing good things to life is gone. The change is an apt symbol. This once-great company now looks inward to itself instead of outward to the world.

A few weeks ago, we examined CEO Jeff Immelt’s childish threats to fire American workers if Congress didn’t renew GE’s Export-Import Bank subsidies. He wasn’t kidding. News reports say layoffs are imminent at the company’s Schenectady, New York plant.

Ex-Im bank supporters contradict themselves. They say on one hand that the bank is a small agency that costs taxpayers almost nothing. Yet its beneficiaries, mainly Boeing and GE, are waging a vicious fight to bring it back. Their actions and rhetoric sure make the bank look important.

GE, once a company that brought good things to life, is now just another conglomerate that brings home the bacon for executives. Immelt’s team doesn’t even bother to hide its mercenary motives. Speaking to local media about the Schenectady layoffs, GE executive Vic Abate said, “It’s just the way the world works.”

Not true. Maybe Jeff Immelt’s world works that way, but sending American jobs overseas because Congress stopped making taxpayers subsidize its profit margin is GE’s choice, not a natural phenomenon.

The General Electric temper tantrums don’t stop there, either. The company wants to relocate its longtime Stamford, Connecticut headquarters elsewhere to avoid recently increased business taxes. Immelt has no more loyalty to his firm’s home state than to his employees.

News reports say Dallas was a leading candidate for GE’s new home. The company reportedly decided not to move there because Texas Republicans Rep. Jeb Hensarling and Sen. Ted Cruz led opposition to the Export-Import Bank. Now sources call Atlanta the new top choice.

If this is true, it is the corporate equivalent of a toddler holding his breath to avoid his spinach.

Hensarling’s spokesman had an excellent response. “[I]f they are really basing their decision on the fact that members of the state’s congressional delegation are opposed to one small federal agency, then they are going to have to bypass pretty much every state, including Georgia.”

Well said. General Electric does not have a problem with Hensarling and Cruz; it has a problem with the voters who elected them. These voters are also taxpayers from whose wallets Jeff Immelt believes he can borrow money. He seems puzzled they would object.

GE is certainly entitled to run its business in the way it likes. GE is not entitled to taxpayer assistance doing so, especially when those taxpayers, through their elected representatives, say they would rather keep their money.

If GE really has “Imagination at Work,” it should imagine how to make a profit without soaking taxpayers. Plenty of small businesses do it. GE can, too.

© 2021 Newsmax Finance. All rights reserved.


   
1Like our page
2Share
PatrickWatson
Visit General Electric’s home page and you will see tales of “Imagination at Work.” The old tagline about bringing good things to life is gone. The change is an apt symbol. This once-great company now looks inward to itself instead of outward to the world.
Money, General Electric, profit, taxpayers
469
2015-40-08
Tuesday, 08 September 2015 11:40 PM
Newsmax Media, Inc.
 
Newsmax TV Live

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved