Boing lay off: Boing Job cut: to fire 750 employees

It is official news now. Boeing Company has plans to lay off or fire about 750 employees.

The lay off by Boeing will be mostly in El Segundo and Seal Beach.

The company management cites the reasons of downturn in the company's satellite manufacturing business and the recent loss of a major contract to a rival.

Employees at the two facilities were told Tuesday of the plans.
As per the news, about 100 employees will receive the 60-day layoff notices this week, with another 650 to be notified at the end of June, Boeing said.
Boeing did not say how the jobs losses will be distributed between the two sites.
It is learnt that the lay offs will be primarily in the area of engineering. The restructuring will leave Boeing Space and Intelligence Systems, Boeing's satellite division with about 6,450 employees, compared with its present count of 7,200.
About 5,500 people currently work in El Segundo.

Lay off wreck lives. No doubt about that. But the company management has its own limitations. Hope to that the unfortunate individuals find a suitable job elsewhere.

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GM Layoff: General motors Layoff: fires 1000: job cuts

Lay offs wreck lives. But unfortunately, the business decisions aim to improve profitability and cut the costs. Lay-offs are just a step towards these.

This time, the ailing automobile company struggling with the trucks business is going for cutting the head count by 900 to 1000 employees.
As per the news on Northumberland, GM will be cutting shifts at four North American manufacturing plants, including Oshawa, to counteract the downturn in truck sales. The company attributed the loss of sales to the economic downturn in the U.S. (the market for about 90 per cent of the trucks made in Oshawa), plus the high Canadian dollar, according to published reports.

"The government has the tools to correct the situation but they aren't using them," CAW president Chris Buckley told Northumberland Publishers early Tuesday.

Related: Home Depot Layoffs, Citibank layoffs,Google DoubleClick layoff,AT&T layoff,Motorola Layoff,AOL lay off,

This is the second shift closure to be announced at the Oshawa GM truck plant. The first took place in January affecting about 1,200 people.

That will leave only one shift of truck manufacturing at Oshawa's GM facilities where they are currently making the GMC Sierra and Chevrolet Silverado.

Whatever allegations, attacks and counter-attacks go on, the fact is that the employees are the ones who would suffer. Hope that the 1000 employees who will be laid-off from GM Plant should find alternate means of Jobs.

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Home Depot Lay-off: fires 1300 employees

Lay offs wreck lives. But unfortunately, the business decisions aim to improve profitability and cut the costs. Lay-offs are just a step towards these.


As per the news on BizJounal, The Home Depot Company has decided to lay off around 1,300 employees. Not only that, it will close around 15 stores in the USA, which are said to be underperforming.

It is also learnt that the expansion plans for opening new stores have been kept aside for the moment.

The home-improvement retailer will close stores in the states of Indiana, Kentucky, Louisiana, Minnesota, New Jersey, New York, North Dakota, Ohio, Vermont and Wisconsin. However, the no. of stores being closed represents less than 1 percent of the company's network.

Related: Midwest Airlines Layoffs, Citibank layoffs,Google DoubleClick layoff,AT&T layoff,Motorola Layoff,AOL lay off,

The company says the move will lead to $586 million in charges, $547 million of which will be recognized in its first fiscal quarter that ends in May.
Home Depot which is listed on NYSE with the ticker symbol HD, says the revised expansion plan and store closures should improve free cash flow, provide stronger returns for the company and allow it to invest in existing stores.
For the current fiscal year, Home Depot said it plans to open 55 stores, including 36 in the United States. Starting in its 2009 fiscal year, Home Depot plans to increase square footage by about 1.5 percent per year.
However, the company will no longer open 50 U.S. stores that hade been in its pipeline.

Hope that the 1300 employees who will be laid-off from Home Depot should find alternate means of Jobs.

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AT&T lay-off: to fire 4600 employees

One more mega layoff is planned by another big company. AT&T Inc. plans to lay off 4,600, primarily of officer class or so called white collar employees, which constitute 1.5% of its work force.

The AT&T company management claims that the layoff plans are justified because of its decreasing landline phone business. What is more interesting is that the company plans to employ almost a same number of associates in the wireless, television and broadband services. Hence, the total employee count of AT&T will remain almost the same by the year-end.

As per the news on The Wall Street Journal, AT&T will take a first-quarter pretax charge of $374 million to cover severance costs related to the layoffs. The bulk of the jobs to go will be those of managerial employees in the landline businesses who don't deal with customers, Mr. Sharp said.

Related: AOL lay offs, Motorola Lay-off: Fires 2600 employees & Citibank Layoffs: fires employees

While the number of people AT&T plans to employ will remain the same in the year ahead, the job cuts could nonetheless result in substantial cost savings in the neighborhood of half a billion dollars, estimates Mr. Hodulik.

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AOL Lay off: AOL fires 100 employees in Web-Ad selling unit.

AOL or Time Warner controlled American Online services, has initiated the process of lay-off for around 100 employees in the Web Ad selling platform unit.
Though the company claims that the ad units are critical to the growth of the company, but the management sees a lot of duplication in the different ad units. The primary reason for this is attributed to many acquisitions the company has done over the past few months. These acquisitions have resulted in the duplicate things being performed across many ad units and these needs to be streamlined. Hence, the company is going on planning for lay-offs.

As per the news on Wall Street Jounral, The layoffs are part of an effort by Platform-A's new president, Lynda Clarizio, to overhaul the unit, which launched about seven months ago but has stumbled. Ms. Clarizio has been tapped to better integrate the seven ad-technology firms that AOL spent $1 billion to buy in recent years as part of its effort to build a one-stop shop for buying Web ads.
Related: Motorola Lay-off: Fires 2600 employees & Citibank Layoffs: fires employees

She has said the unit suffered from duplication among its sales, tech and other groups.

Hope that these the number of employees who are fired remains at 100.

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Midwest Airlines Layoff: fires 109 employees

The aviation industry may be having a tough time in the skies, due to the rising crude oil prices which touched a high of 114 dollars a barrel yesterday.
In this era of uncertainity and volatility, airlines are taking all actions they can to cut on their losses. Delta and Northewest Airlines have decided to go for a merger. Midwest airline has decided to cut off on the employee headcount by going for a job cut.
It declared officially that will lay off 35 pilots and 74 other employees. Not only that, it will also reduce the frequency of certain flights, all actions attributed to the rising fuel costs. For the remaining, the salaries may also be downsized or reduced.

Other measures that the Midwest Airlines is taking is to reduce the on board weight, so as to burn less fuel and increase savings. They are also going on revamp of various departments and improving the services by focusing on on-time arrivals and manage baggage handling in a better way.

The changes also involve an initiative called "Midwest Class," a seating choice program to debut this fall on the Boeing 717 fleet that allows passengers a chance to upgrade their seats for a higher ticket price. The program is expected to boost revenue.

Last week, the company told its pilots union that 35 pilots will be laid off under a revision of the flight schedule and that 22 will receive position and pay downgrades.

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Motorola lay-off: Motorola fires 2600 employees

Motorola has declared it officially, in a filing to the regulators, that Motorola will be firing 2600 employees.
The reasons for this “official lay-off” by Motorola is that it will result in a pretax charge of around 105 million USD.

Motorola claims that the lay-offs are as per the initially indicated plans, which are aimed at reducing the cost by half a billion for this year. They claim that the management has proactively warned the employees about the possibility of a Motorola job-cut or lay-off.

It’s wrap-up time for Motorola. In India, they are planning to sell their handset business to Videocon, the largest Indian electronics company. Also, the are planning to wrap-up the mobile phone manufacturing in Singapore, and hence maximum lay-offs, around 700-800 of them may happen in Motorola Singapore. The remaining job-cuts will be made at other places like Plantation, Fla., where Motorola will fire 350 employees, and in a Birmingham, England, facility that will lose 120 jobs.

Related: Google lay-off, fires DoubleClick employees

Motorola said the reductions were made across all three of its business units, as well as on the corporate level.

I can only sympathies with the employees of Motorola which is having a tough time!

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Ebay fires employees: lay-off 125

Its the turn of ebay, another tech company to show door 125 of its staff.

The reason, as cited by the ebay officials, is that company wants to focus on the website improvement and hence the cost cutting that it will have by firing 125 of these employees will go towards making necessary savings and contributions towards the "improvements".

So ebay now has around 15,500 employees spread across the various location across the globe.

Some of the employees who were fired worked for PayPal, eBay's online payment service.

Recently, it was Citibank which announced layoffs, and now the online shopping website goes on a cost cutting spree. No respite is in place to the US employees.

Citibank lay-offs: fires employees

Another credit crunch, another bank suffering the aftermaths of subprime mortgage crisis and finally going for a headcount reduction.

As per the enws, the famous Citibank is planning a massive lay-off, much more than what was expected as compared to lat year.

traditionally, the citibank employees, bottom 5% of them used to be fired on the basis of performance. However, this year, the no. is expected to be much higher than last years. citibank is citing the reasons of cost cutting and expansion of business in other regions, which may appear to be more profitable.

Needless to say, the majority of layoff for citibank emplyees will be those who will be fires from the mortgage and loans disision of citibank banking.

Ot of the total 60,000 citibank employees - around 4,200 jobs will be cut. moreover, apart from these 4200, there can be many more rounds of layoffs, the second one expected to reduce around 2000 citibank employees.

Citigroup employs about 320,000 people around the world. Even before the credit crisis started last summer, the company announced that it was reducing its staff by 17,000.

Merrill Lynch job cut: fires 650 employees, quits subprime mortgage business

Another big bank, another job cut, another victim of subprime mortgage crisis.
Merrill Lynch, the major investment bank of Wall Street, decalred on Wednesday, that it will cut 650 jobs and it will stop the business of subprime mortgage lending, a business that it was conducting through the financial arm of First Franklin Financial Corp.

Merrill Lynch delared that it is quitting the subprime lending business citing the reasons of worsening market for home loans, which go for home loans to people with poor credit.

Related: BMW Job Cuts , Siemens Job Cut & Morgan Stanley Job Cut

It said it will try to sell Home Loan Services, a unit of First Franklin that handles billing and collections.

Unfortunately, 650 employees of Merrill Lynch will be fired, due to the job cuts in the subprime mortgage crisis.

It is the latest wall street investment bank to join the list of firing the employees in the subprime mortgage based business. Others that have already done so include the biggies like Lehman Brothers and Morgan Stanley, apart from the so many victims of BNP Paribas funds, Macquerie Bank Socgen and so on.

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BMW Job-Cuts: layoff for 8100 employees

The bad news is not stopping for the employees in various sectors. After Siemens which is heading for around 7000 job cuts, It’s time for auto major BMW to announce a job cut or layoff.
As per the news, BMW, the auto major of Germany, may be scrapping 8100 jobs. In India, it was TCS which went for a TCS layoff following TCS salary cuts. Then it was IBM which axed 700 jobs across all over India. Then, it was the turn of British Petroleum (BP) and Virgin to go for a job cut in UK. And now, it’s Siemens which is heading for a massive job cut.

As per the news: BMW announced on Wednesday that it was cutting off 8,100 jobs, as the rising euro pushed the company into the kind of tough cost-cutting it had resisted.

Even as rivals like Mercedes-Benz and Audi eliminated jobs and reduced operations, BMW avoided layoffs. That put pressure on its profit margins but burnished its image in Germany as a desirable employer.

The company — whose cars have sold particularly well in the United States — has responded quickly to global trends, notably the rising price of raw materials and exchange rate volatility, largely through hedging.

About 2,500 full-time employees will have to leave BMW in Germany, while about 600 elsewhere — mainly in the global sales network — will be laid off. About 2,500 temporary workers in Germany have already left, and BMW said that 2,500 more would follow by the end of the year. .

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Siemens Job Cuts: 8100 employees to be lay off

The bad news is not stopping for the employees in various sectors. Siemens, a major company in telecom sector, has deiced to got for a job cut or layoff. In India, it was TCS which went for a TCS layoff following TCS salary cuts. Then it was IBM which axed 700 jobs across all over India. Then, it was the turn of British Petroleum (BP) and Virgin to go for a job cut in UK. And now, it’s Siemens which is heading for a massive job cut.

As per the news, Siemens plans to announce that may go for up to 7,000 job-cuts, or 40 percent of the workers in its troubled business telecommunications unit in Germany and Brazil.

According to the news, the top rung of Siemens is expected to announce plans to cut up to 4,000 jobs in the unit, which employs 17,500, and advise the worker representatives that a further 3,000 jobs could be transferred into ventures with new business partners.

The layoffs could occur in Leipzig, Germany, and in Brazil, where Siemens has factories that produce phones and corporate communications networks, the person said. About half of the 4,000 layoffs will be in Germany, this person added.

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Starbucks job cut: 600 employees fired

It is happening once again – this time not in the big financial sector or the technology jobs, but at a coffee shop. Starbucks, which is the world's largest chain of coffee shops, said it will cut on 600 jobs and add regional divisions in the U.S. in an effort to end a decline in customer visits.
Around 230 workers are already fired, while remaining job cuts will be done by freezing of recruitment on vacant positions. Though the Starbucks management claims that the job cut, 600 in total, is not even 1% of the total Starbucks strength and the people who have been fired are the ones who are NOT engaged with serving the customers, but they are primarily the support staff, mainly in supply chain management stream.

The officials said that they would slow the pace of store growth and close 100 ``underperforming'' stores.

Starbucks will double the number of U.S. divisions to four in the hopes of improving employee training and customer service. Visits to U.S. locations have declined the past two quarters.

Starbucks, which has an employee strength of around 170,000, went down 44 cents, or 2.5 percent, to $17.82 at Nasdaq trading.

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Yahoo Job Cut: fires 45 people in Bangalore, India

Yahoo has joined the list of companies in firing employees in India.

Initiated by TCS which fired 500, followed by IBM which fired 700, now Yahoo has shown the door to 4 of it’s employees citing the same old reasoning - Poor Performance, a reason that cannot be quantified.

Sources say that another 100 job cuts may be in the pipeline. God knows where the IT industry in India is heading.

Here is the news items from Rediff (http://www.rediff.com/money/2008/feb/14yahoo.htm):
Yahoo! India, it is learnt, has shown the door to 45 full-time employees across all levels.
Though a spokesperson of Yahoo! India refused to comment on the development, highly-placed sources within the company claimed that it was a routine "trimming process" and more "poor performers" would be sacked.
"Not only are contract employees being sent back, even full-time employees are being asked to quit. Wherever the company is seeing surplus headcount, it is being reorganised. Eventually, more than 100 employees may be asked to quit but performers will be retained," the sources added.
A few days ago, Microsoft made a bid for Yahoo!, and the sacking has shocked many employees in the Bangalore office. "This move has taken us by surprise. In fact, recruitment has been very slow ever since Microsoft made the bid," a senior employee said.
Set up in 2000, Yahoo! India, a subsidiary of Yahoo! Inc, provides internet services, technological tools, and marketing solutions for business both in India and abroad.

Apart from taking care of the Yahoo! India portal, the company operates an R&D centre in Bangalore. It employs close to 1,000 people in the India operations.

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Morgan Stanley job cut: lays off 1000 mortgage employees

In a first ever open move, the big financial institution, a Wall Street biggie, Morgan Stanley has declared that it is firing 1000 people from it mortgage jobs business segment. The move is done to cut down its US home lending business and will also fire some employees from a British Mortgage unit, an arm of Morgan Stanley.

The management has defended its decision by claiming that the job cut by Morgan Stanley was an effect of the deteriorated situation of the mortgage markets.

Who will be affected?
The Morgan Stanley Home loan or mortgage business employees who generate mortgage or home loan business from brokers or other parties as intermediaries, will be shown the door. Then there are some other bankers who would be involved in a kind of “securitization” or packaging these loans into bonds, will also face job cuts by Morgan Stanley. Including this one, Morgan Stanley has laid off a total of around 2,900 people in mortgages, wealth management, investment banking and capital markets since October 2007. This constitutes around 6% of the total Morgan Stanley employee strength.

After the job cuts, Morgan Stanley has now joined well over 100 mortgage lenders that have slashed jobs or gone out of business in the last year as the housing crisis deepened and credit conditions worsened. Last year, it was Lehman Brothers who had cut 1300 jobs in the mortgage division.

This is a clear sign that the major investment banks and financial institutions are not seeing a sooner end to the mortgage crisis in US and the other developed countries. Obviously the ripples will be felt by other emerging countries as well, on a global basis.

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