This paper presents the coupled thermal and structural analysis of the rotating components of the generator using ABAQUS finite element solver. The interference between shaft and rotor is optimized to have a positive contact pressure and also minimize the stresses in the laminate at all operating speeds. Thermal analysis is performed to simulate the temperature distribution arising from the heat losses of generator. The flow path of the coolant is designed through the shaft to minimise the temperature rise of the generator. The resulting changes in the contact pressure between laminated disc and shaft is computed using sequentially coupled thermal and structural analysis. The thermal stresses of rotor are computed estimated and the design is optimized for transmitting torque at different operating speeds.