LayoffBlog.com

February 13, 2009

Hilton is planning more than 1,000 job losses

Hilton Hotels Corporation (HHC), the US hotel operator, is planning more than 1,000 job losses under a $250 million (£175 million) cost-cutting program. HHC, controlled by Blackstone Group, announced plans to close its corporate headquarters in Beverly Hills, California, and move to Virginia last week. The 500 staff at its Watford[,UK] international center also expect big job cuts.

HHC declined to comment although industry sources confirmed that its offices in Watford, Dubai and Singapore would all suffer job losses. Insiders expect at least half the employees in Watford to lose their jobs as the old Hilton International headquarters becomes a European center.

Source: Times Online

6 Comments »

  1. Hilton is moving the HQ to DC for the convenience of the CEO. His wife didn’t want to move to LA. 400 some-odd employees are getting the shaft to reduce his commute.

    No merit raises for employees but management is getting their bonuses this year.

    Almost 80% of the international employees will be let go when its all said and done, and Hilton is actively looking at outsourcing much of its US information systems department in the US. The CIO retired recently (although he is on contractor status for the rest of the year).

    The company is in extreme disarray, and facing cashflow problems due to debt incurred as part of the Blackstone deal. Credit woes are limiting franchisees’ ability to open new properties. Hilton had to lower franchise fees 10% to help them out. The timeshare business is collapsing.

    Comment by awm — February 21, 2009 @ 12:25 am | Reply

  2. Blackstone bought Hilton at the peak of the market – good for the shareholders. The CEO’s background is in hotel real estate and it will be interesting to see how he builds or ruins a hotel giant. The recent decision to move the headquarter is not convincing at all. The reasons cited was to accomodate the world time zone. How many hotels under Hilton are outside U.S? More importantly, how many executives in those regions need to have conference calls with headquarter? Even fewer!

    Comment by SLBU — February 26, 2009 @ 1:53 pm | Reply

    • The hard news is in the pipe…

      Comment by Anonymous — March 24, 2009 @ 5:37 pm | Reply

  3. layoffs have started in AW, mem today

    Comment by Anonymous — March 26, 2009 @ 12:02 pm | Reply

  4. Blackstone is run by Monkeys

    Comment by OHBOY — March 26, 2009 @ 1:07 pm | Reply

  5. Layoffs in the IT dept have begun as of 3/26/09.

    Almost all long term Hilton employees have been laid off in the IT area and layoffs will continue today and Monday.

    Comment by anonymous — March 27, 2009 @ 5:53 am | Reply


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