The deal was confirmed Wednesday by the company and United Electrical Workers Local 506 President Randy Majewski.

GE operates a locomotive engine plant in Grove City which ships engines to Erie. Since the start of the year the Grove City plant has brought back 30 laid off workers, said Rick Hammel, human resource manager for the plant.

Wednesday's announcement for the Erie plant follows the company's recent decision to temporarily recall some of the 100 workers who had lost their jobs in April.

In January, GE Transportation Systems announced it would cut 1,100 jobs worldwide, with about 900 coming from its Erie plant. The Erie-based company cited a continuing decline in orders for new locomotives.

GE Transportation Systems initially projected orders for new locomotives to total 350 to 400 this year. Spokesman Jeffrey DeMarrais said the total likely will be "slightly better" than 400.

However, Majewski said the company is on target to produce about 450 locomotives in 2002.

"Unless someone drops off the planet, we're going to get to 450," Majewski said. "With the increased numbers, there is an increased likelihood that they will reduce the number of layoffs."

For Erie County, which is among Pennsylvania's highest unemployment rate at 8.2 percent, the prospect of improved business is welcome, said James Kurre, an economist at Penn State Behrend.

GE Transportation Systems is Erie's largest employer with about 4,500 workers.

"GE is the biggest single employer and they do a lot of business here," Kurre said. "If their orders are picking up, that will mean business for some of the companies they outsource to. GE also plays an important role because it is so large and pays high wages."

The union had been negotiating with the company since the announcement to preserve some of those jobs.