GE Appliances Announces Layoffs in Louisville Impacting Salaried Workers

GE Appliances, a major employer in Louisville, is facing layoffs for salaried workers due to challenges in the housing market. The company, which employs over 8,300 workers at its Appliance Park facility, announced that 4% of its salaried employees globally will be laid off, citing mortgage interest rates and inflation as contributing factors to the decline in the appliance industry.

While the exact number of local layoffs in Louisville has not been disclosed, Bellarmine economics professor Francis Raymond explained that the rise in interest rates has had a significant impact on the housing market, leading to a decrease in home sales and subsequently, lower demand for appliances.

The news of the layoffs comes as a surprise to some, but Raymond noted that the effects of higher interest rates on consumer spending were inevitable. Workers at GE Appliances were notified of the layoffs on Thursday and will receive a 30-day notice of separation, as well as up to six months of severance and medical coverage.

GE Appliances was sold to China-based appliance manufacturer Haier in 2016, and is listed as one of Greater Louisville’s top employers. Despite the layoffs, the company remains a significant contributor to the region’s economy.

The news of the layoffs serves as a reminder of the impact that economic factors can have on industries and employment, highlighting the challenges faced by both workers and businesses in a changing market landscape.