GE to Cut Jobs at Aircraft Engine Unit

General Electric Co. said it will cut as many as 4,000 jobs at its aircraft engine business, or 13% of the unit’s work force, as airlines slash flights after the Sept. 11 terrorist attacks.

GE Aircraft Engines, based in Evendale, Ohio, is the biggest maker of jet engines. The cuts include as many as 800 positions in Cincinnati-area operations and 250 at a plant in Lynn, Mass. The job reductions will be completed by early next year, the Fairfield, Conn.-based company said.

General Electric Chief Executive Jeff Immelt said last month that the company would cut $500 million in costs from the engine unit, which accounts for about 8% of its overall sales. Airlines have cut services by 20% after the attacks and shelved plans to buy planes, forcing Boeing, Airbus and other manufacturers to slash production.

General Electric shares rose 10 cents to close at $38.15 on the NYSE.