Alstom: management and unions disagree on the assessment of the company’s economic situation

Management troubles.  Since the announcement, on March 22^nd, of another restructuring program in the transport unit (see our dispatch No.  110196), debates have resumed within Alstom’s EWC about the analysis of the group’s economic situation.  The management says that the 4,000 job cuts in the Power unit (turbine manufacturing and power plants) and the 1,300 at the Transport unit are justified because of the market and drop in orders.  However, the union representatives disagree.  They say that, in Transport, the Alstom-Bombardier consortium is booked for 7 years.  For Alstom Power, they point to ongoing projects in Europe – for instance in Flamanville, France – and denounce management problems that cause the company to loose orders.  “Our analysis of the situation regarding our rivals isn’t as pessimistic as the management’s.  It simply shows that Alstom has a problem with strategy which is causing us to loose markets.  We need to find leadership at the level of our products” explained Udo Belz, chairman of the EWC.