TVA cutting 2,000-plus jobs in massive cost-saving effort
Published: August 6,2014
CHATTANOOGA, Tenn. — The nation’s largest public utility is eliminating more than 2,000 jobs as part of a $500 million cost-cutting campaign.
The Chattanooga Times Free Press reports the Tennessee Valley Authority is making the cuts this year to pare expenses and make electric rates in the Tennessee Valley more competitive with neighboring utilities.
Most of the staff reductions are being made by not filling vacant jobs and through retirements and resignations by the end of next month.
More than 900 employees agreed to resign or retire and were given a week’s pay for each year of employment. Another 1,000 staff vacancies were not filled.
TVA declined to detail the number of layoffs, which are the agency’s largest in more than two decades.
TVA President Bill Johnson said this week that the voluntary reduction offers well-received and avoided the need for massive firings, although some employees are being laid off.
“We are well on our way toward achieving our multiyear goal of reducing operating and maintenance costs by a sustainable $500 million (below 2013 spending levels),” Johnson said. “Once we make that target, we will continue to look for ways to eliminate unnecessary costs and to live within our means.”
To sign up for Mississippi Business Daily Updates, click here.
Top Posts & Pages
- Bryant wants free tuition for students with technical diploma
- Prison-contract task force working in wake of Epps' indictment
- Investigators find massive Ag Museum fire was an accident
- Analyst: KiOR Columbus plant may end up sold as scrap
- Former MDEQ Executive Director Trudy Fisher joins Butler Snow
- (UPDATE) Gov. Bryant: $1.2 billion aluminum plant is a very exciting proposition for the state of Mississippi
- WILLOUGHBY: Bernie Reed cites hard work as key to success of Reed’s Metals
- DAVID DALLAS: Savor this Thanksgiving and be grateful
- BankPlus recognized for alternative program to payday lending