This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Kucinich to Immelt: Resign

NEW YORK ( TheStreet) -- General Electric (GE - Get Report) chief Jeffrey Immelt should resign from his position as head of the President's Council on Jobs and Competitiveness because many of his company's goals conflict with the council's goal of boosting U.S. employment and economic output, Rep. Dennis Kucinich (D-Ohio) argued Wednesday in a little-noticed press release.

GE CEO Jeff Immelt.

"If he does not resign, the White House should remove him," Kucinich said in the statement.

Kucinich's statements came in response to a story in the Washington Post describing General Electric's transfer of sophisticated aviation technologies it has developed to a Chinese joint venture.

"American taxpayers subsidized the development of this advanced technology, but U.S. taxpayers' investment will end up creating jobs in China. In the short term, GE is selling products to the Chinese, which will help GE's bottom line. In the long term, the Chinese will end up manufacturing and selling products using the same technologies that were made in America," read the statement from Kucinich, a seven-term congressman who has run for President in the past, and who is known for taking positions that are well outside the politicial mainstream.

Responding to the Washington Post story on its website, GE argued, "GE started doing business in China in 1906; it's not a new direction for the company. China's civil aviation market is one of the fastest growing in the world and has enormous potential for continuing growth. It is a key imperative for GE and the U.S. to participate in this growth."

Kucinich also cited General Electric's low tax bill, which, when pointed out by The New York Times in March, ignited a furor that dominated the news cycle for several days.

Another statistic Kucinich plucked from that article is that GE has cut a fifth of its U.S. workforce since 2002--Immelt's first full year as CEO--while expanding overseas.

GE spokesman Andrew Williams would not respond directly to Kucinich's call for Immelt's resignation from the council, but sent the following statement.

"As the CEO of GE, an employer of 133,000 Americans, Jeff Immelt was proud to answer the President's call to chair this advisory board made up business leaders, including those from small business and labor. He is proud to be working with others to push forward plans to speed the creation of jobs in the United States."

-- Written by Dan Freed in New York.

READERS ALSO LIKE:

General Electric's Harlem Horse Trade >>
Charlie Rangel gave GE a big tax break, then got $11 million for his district.


Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
GE $26.80 0.00%
AAPL $132.10 1.90%
FB $81.55 -1.00%
GOOG $565.06 0.00%
TSLA $218.42 0.00%

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs