AEP Plans to Cut up to 10% of Staff

by Emily Baird on April 14, 2010 at 5:01 am

American Electric Power is expecting to cut down between five and 10 percent of its staff due to the economic downturn.

It announced today that it is offering employees a voluntary severance package that will provide employees with two weeks pay for every year of service.

AEP spokesperson Melissa McHenry says the economic downturn is going on longer than the company anticipated so it is hoping to cut costs. This reduction will affect one to two thousand positions throughout the 11 states the company covers.

McHenry says after employees sign for the volunteer severance package, it will re-evaluate its financial situation to see if any additional staffing changes are needed.