GE Vernova has announced significant staff reductions in its offshore wind business following a series of operational setbacks and financial losses. The company stated that 900 employees globally could be affected by the move, citing rising material costs and persistent supply chain disruptions as key reasons behind the decision.
“The proposal reflects industry wide challenges for wind and aims to transform our offshore wind business into a smaller, leaner and more profitable business within GE Vernova,” a company spokesperson said in a statement.
This downsizing comes as GE Vernova’s offshore wind division faces mounting challenges, including a $300 million projected loss for the current quarter. The company’s CEO Scott Strazik revealed that it is currently struggling to complete an order backlog worth $3 billion.
The decision follows a year marked by technical issues with GE Vernova’s offshore wind projects. Over the summer, turbine blades at wind farms off the coasts of Martha’s Vineyard, Massachusetts, and the United Kingdom experienced failures, with blades breaking and debris falling into the ocean. These incidents came after a similar blade failure at the same U.K. wind farm earlier in May.
Amid these new staffing cutbacks, GE Vernova stated that it will prioritize allocating its resources towards existing projects, including quality control operations.