Some retrenchment stories, all collected from Economic Times and other sources. Readers are welcome to add comments to make the picture complete.
• Citigroup has reduced 23,000 employees and plans to reduce 9,100 by next October. End of 2007 it employed 375000 persons and now it employs 352000 employees.
• The US toy manufacturer Mattel, the maker of Barbie dolls and Fisher-Price toys, announced that it would cut a thousand jobs worldwide due to higher production costs and the economic crisis
• Corus, owned by the Tata Steel Group, has announced plans to cut 400 jobs at its distribution arm, saying it had been operating in a “volatile and fluctuating” market
• A Layoff notice was issued to all employees of ESSAR Steel Algoma. The notice covers all steelworker members of Local 2251 as well as other departments according to the letter posted to employees.
• Motilal Oswal has cut salaries by 10-20% of employees in retail broking business. Anand Rathi says they do not discourage employees leaving on their own. Retail broking house Sharekhan cut salaries across the board by 5-15%. B&K Securities, which is primarily into institutional broking, have seen their pay cheques shrink by 20-25%. India Infoline is looking at restructuring the package of its sales staff to lower the burden of employee cost.
• Jet Airways has terminated the services of 30-35 expat pilots. These are from its 737-400 fleet.
• There is talk about IT sector laying off employees. Infosys, Wipro, TCS and Satyam honchos are denying lay offs [but people are talking about it]
• Tata Motors disengaged the services of 700 temporary employees in just three days.
• Ashok Leyland is planning to reduce monthly production target for November to 1,500 units from the average of 6,800 units it clocked each month in the first six months of this fiscal. In November, the company will also work fewer days to match with the production schedule.
And yet ~ the Bailout Bill was SO needed. Grrr. It was just a way to put money in the pockets of CEO’s in order that they can go to luxury spas for the weekend after the bailout. Don’t get me started. *sigh*
In Louisiana, we aren’t feeling the layoffs as much, but it’s starting to trickle down. From what I gather, 3 Circuit City Stores will be closing by Dec 1st.
People aren’t willing to spend money when they fear higher taxes (Dems tend to go for higher taxes), economic struggle and banks pulling back the reins on lending.
There’s an old saying, “It’s going to get worse before it gets better.”
I have friends considering bankruptcy because they have high credit card balances and know the interest rates are going to sky rocket. (Thankfully I’m not in that boat any longer!)