LOUISVILLE, Ky. (WHAS11) -- More than 200 employees who work at the AP10 warehouse at Appliance Park received a letter on Wednesday, notifying them the business planned to transfer their work to a third-party company.
GE spokesperson Kim Freeman said the proposed move is a result of “inefficiency” and “disappointed customers.”
“There have been situations where we have disappointed our customers because we missed deadlines, so we are not serving our customers as much as we need to,” Freeman said.
According to Freeman, there won’t be any job loss, instead employees will be absorbed into other operations within Appliance Park.
Freeman added the 47-acre warehouse is the biggest of the eight total GE warehouses in the country, but said the cost to move product is 30 percent more at Appliance Park.
“I was very devastated to receive that letter,” Dana Crittendon said, the president of IUE-CWA Local 83761, the union that represents thousands of employees at GE.
“It takes away opportunity. We could be hiring more, but all we’re probably going to be doing is back-filling jobs from terminations and things of that nature,” Crittendon said.
The union has 60 days to bargain with GE and Crittendon said they will do their best to prevent the 200 plus jobs from being outsourced.
GE said since 2013, they have worked with the union and employees to make several positive changes, including investing more than $5 million to contemporize the warehouse facility and improve equipment with the best-in-class technology, tools and processes.
The company has not disclosed who the third party company would be.