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Siemens Energy to reduce workforce at its Olean facility by more than 500

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Posted at 6:27 PM, Feb 02, 2021
and last updated 2021-02-03 17:36:33-05

BUFFALO, N.Y. (WKBW) — Siemens Energy announced it plans to reduce the workforce at its Olean facility by more than 500.

According to a company spokesperson, the announcement was made during a town hall at the Olean facility Tuesday. The workforce reduction will impact around 530 employees and it will be done in phases which will conclude by mid-2022.

Siemens Energy says it is going to look at transferring some of the workforce with about 100 positions available in Painted Post, N.Y. and about 50 positions available in Houston, TX.

“It’s largely because of the change in the global energy industry. We’ve been losing money. Oil and gas spending has been dropping since 2013. We have limited recovery expected," the spokesperson said to 7 Eyewitness News.

New York Senator George Borrello (R - 57th District) released a statement on the announcement which said in part:

“Siemens Energy employs over 800 people at its Olean plant. This is another blow to our region and a major setback to much of the progress made in the city of Olean. Since its days as Dresser-Rand, this plant has been the backbone of manufacturing and industry in Cattaraugus County. The company has indicated that they will retain a local presence of more than 300 employees at Siemens Energy in Olean and that jobs are available for approximately 100 workers at plants in Painted Post or Houston. Our job now is to advocate on behalf of those impacted by this decision.”

The workforce reduction at its Olean facility is part of a plan by Siemens Energy to reduce its current global workforce until 2025 by about 7,800 jobs in its gas and power segment.