AEP to cut more than 2,000 jobs

American Electric Power wants to trim its work force by as much as 10 percent and has offered buyouts to nearly 22,000 employees in each of the 11 states where it has operations.

Spokeswoman Melissa McHenry says the utility, based in Columbus, Ohio, has given workers until the end of the month to make a decision. AEP says it will resort to layoffs if there are too few takers.

The economic downturn has hurt power providers because demand for electricity has slumped.

AEPs sales dropped 6 percent in 2009, including a decline of nearly 16 percent for industrial customers.

AEP employees learned of the buyout offer in a letter from CEO Michael Morris.

CEO Mike Morris has said the company sees a modest turnaround happening this year, but most economists predict any broad economic recovery will be slow.

That could affect hiring at industrial companies and also for power providers like AEP, which deliver electricity.

AEP is one of the nations largest power generators, with more than 5 million customers.

Related News

calgary deep freeze

Alberta sets new electricity usage record during deep freeze

CALGARY - Albertans are cranking up their thermostats and blasting heat into their homes at overwhelmingly high rates as the deep freeze continues. 

It’s so cold that the province set a new all-time record Tuesday evening for electricity usage. 

According to the Alberta Electric System Operator (AESO), 11,729 MW of power was used around 7 p.m. Tuesday, passing the previous record set in January of last year by 31 MW.

Temperatures reached a low of -29 C in Calgary on Tuesday while Edmonton saw a low of -30 C, according to Environment Canada. Wind chill  made it feel closer to -40.

“That increase —…

READ MORE
finland wind power

Neste increases the use of wind power at its Finnish production sites to nearly 30%

READ MORE

germany coal plant

Germany is first major economy to phase out coal and nuclear

READ MORE

U.S. power companies face supply-chain crisis this summer

READ MORE

UK low-carbon electricity generation stalls in 2019

READ MORE