Nov 12, 2015

GE Gets its Subsidies While Pennsylvanians Lose Their Jobs

Post by Freedom Partners

Arlington, VAThe day after the U.S. House of Representatives voted to revive the Ex-Im Bank, GE announced another round of layoffs—this time 1,500 jobs in Erie, Penn.

The region’s congressmen, U.S. Reps. Mike Kelly (R-Penn.) and Glenn Thompson (R-Penn.), both voted to revive the bank and opposed every amendment to protect taxpayers.

GE repeatedly threatened to move American jobs overseas if lawmakers didn’t restore its corporate welfare—an argument used by many the Ex-Im Bank’s supporters, including Rep. Thompson, to justify reopening the bank—but now GE’s spokeswoman admits:

The Ex-Im Bank had nothing to do with these layoffs and its reauthorization won’t change a thing.

U.S. Sen. Pat Toomey rightly opposes this cronyism.

Freedom Partners Senior Policy Advisor Andy Koenig Issued The Following Statement:

“GE got its subsidies, but these 1,500 hardworking taxpayers lost their jobs. The lawmakers who voted for Ex-Im should explain why their constituents’ tax dollars should prop up companies that are making billions. Sen. Toomey is right to see through the smoke and mirrors, stand up for hardworking taxpayers, and oppose this corporate welfare.”

GE Consistently Threatened Lawmakers That Jobs Would Go Overseas If The Ex-Im Bank Weren’t Reauthorized

GE CEO Jeff Immelt Was Telling People That More U.S. Jobs Would Only Move Overseas “Unless The Stance On EXIM Changes.” (Lewis Krauskopf and Ankit Ajmera, “GE To Get Up To $12 Billion In Export Financing From Britain,” CNBC, 09/24/15)

“GE Chief Says He’d Move Jobs If Ex-Im Isn’t Reauthorized.” (Rudolph Bell, “GE Chief Says He’d Move Jobs If Ex-Im Isn’t Reauthorized,” Greenville News, 06/20/15)

GE Said That It Would Have To Send Jobs Overseas If It Could “Access Export Financing No Longer Available In The United States.” (David Lawder, “GE To Move Engine Plant To Canada As U.S. Export Financing Nixed,” Reuters, 09/28/15)

Congressmen Mike Kelly and Glenn Thompson Both Voted In Favor Of Reauthorizing The Ex-Im Bank

Reps. Kelly And Thompson Voted To Reauthorize The Ex-Im Bank. (H.R. 597, Roll Call Vote #576: Passed 313-118: R 127-117; D 186-1, 10/27/15)

Rep. Thompson Said That He Voted To Reauthorize Ex-Im Because The Bank Supports Jobs In His District. (“Thompson Supports Measure to Reauthorize Export-Import Bank,” United States House of Representatives, 10/27/15)

The Erie Times-News Also Editorialized That “Erie Jobs [Were] In Jeopardy Without [The] Ex-Im Bank.” (Editorial Board, “Erie Jobs In Jeopardy Without Ex-Im Bank,” Erie Times-News, 05/31/15)

Reps. Kelly And Thompson Voted Against Every Amendment That Would Have Made Good-Faith Reforms To The Ex-Im Bank. (“Roll Call Votes,” United States House of Representatives, Accessed 11/12/15)

Reps. Kelly And Thompson Voted Against Amendment #1 To Increase By Five Percent Each Fiscal Year For Four Years The Percent Amount That Ex-Im Should Make Available For Small Businesses. (H.R. 22, Roll Call Vote #607: Failed 121-303: R 121-121; D 0-182, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #2 To Limit Export-Import Bank Authorizations To Countervailing Purposes In Order To Meet Competition From Foreign Export Credit Agencies. (H.R. 22, Roll Call Vote #608: Failed 117-309: R 116-127; D 1-182, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #3 To Require Export-Import Bank Authorizations Above $10 Million To Be Contingent On At Least Two Denials Of Similar Assistance From The Private Sector. (H.R. 22, Roll Call Vote #609: Failed 124-302: R 123-120; D 1-182, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #4 To Prohibit Export-Import Bank Authorizations Involving Countries With A Sovereign Wealth Fund Of Over $100 billion. (H.R. 22, Roll Call Vote #610: Failed 116-308: R 115-126; D 1-182, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #5 To Reduce Taxpayer Exposure By Removing Treasury Guarantees For Losses At The Export-Import Bank And Removes Borrowing Authority From The Treasury. The measure failed 117-308.(H.R. 22, Roll Call Vote #611: Failed 117-308: R 116-127; D 1-181, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #6 To Limit Taxpayer Exposure By Ensuring Diversification Of Industries And Companies At The Export-Import Bank.(H.R. 22, Roll Call Vote #612: Failed 114-134: R 114-129; D 0-185, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #7 To Prohibit The Export Import Bank From Providing Financing A Foreign Borrower Unless The U.S. Company Guarantees Repayment Of, And Pledges Collateral In An Amount Sufficient To Cover, A Percentage Of The Amount Provided By The Bank And Makes That Guarantee Senior To Any Other Obligation. (H.R. 22, Roll Call Vote #613: Failed 115-313: R 114-129; D 1-184, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #8 To Prohibit Export-Import Bank Assistance To State-Sponsors Of Terrorism. (H.R. 22, Roll Call Vote #614: Failed 183-244: R 179-63; D 4-181, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #9 To Add Fair Value Accounting Principles To The Ex-Im Provision Of The Underlying Bill. (H.R. 22, Roll Call Vote #615: Failed 133-295: R 133-110; D 0-185, 11/04/15)

Reps. Kelly And Thompson Voted Against Amendment #23 To Allow Companies To Appeal Their Economic Harm Protest Directly To The Export-Import Bank Board Of Directors.(H.R. 22, Roll Call Vote #616: Failed 129-298: R 128-114; D 1-184, 11/04/15)

Now GE Is Getting Its Taxpayer Subsidies While More Than 1,000 Pennsylvanians See Their Jobs Cut

On Friday, One Day After Congress Passed Legislation To Reauthorize The Ex-Im Bank—GE Transportation Announced That It Would Be Cutting 1,500 Erie Jobs.(“GE Transportation To Lay Off 1,500 Blue-Collar Workers,” Erie Times-News, 11/07/15)

The President Of A Local Labor Union Called It A “Devastating Blow.” (“GE Transportation To Lay Off 1,500 Blue-Collar Workers,” Erie Times-News, 11/07/15)

“One Of The Biggest Layoffs Erie Has Seen In Years.” (“GE Transportation To Lay Off 1,500 Blue-Collar Workers,” Erie Times-News, 11/07/15)

GE Confirms That Ex-Im Had Nothing To Do With Its Decision

“Asked Whether The Bank’s Hiatus Triggered The Layoffs, GE Spokeswoman Clarissa Beyah-Taylor Said, ‘I Would Say ‘No’ To A Great Extent.’”(Chris Potter, “Export-Import Bank: An Obscure Institution That’s Generated Big Controversy,” Pittsburgh Post-Gazette, 11/11/15)

She Added That GE Is Simply “Going Back To More Historical Levels” After A Recent Boom In Locomotive Orders. (Chris Potter, “Export-Import Bank: An Obscure Institution That’s Generated Big Controversy,” Pittsburgh Post-Gazette, 11/11/15)

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