Chrysler LLC, the automaker that survived a near-death experience in 1979, filed today for bankruptcy protection to streamline operations and shed debt in a reorganization that includes Italy’s Fiat SpA as a partner.
“Bankruptcy could do a lot of good for Chrysler” by allowing it to “shrink down to the size it needs” quickly, said Stephen Lubben, who teaches bankruptcy-law at Seton Hall University School of Law in Newark, New Jersey.
Source: Bloomberg
Level 3 Communications Inc., the money-losing U.S. phone operator, posted first-quarter sales that missed analysts’ estimates and said it plans to cut 150 jobs this quarter, sending the stock down 14 percent.
The recession is forcing customers to disconnect lines, and “revenue pressure” will continue this quarter, Chief Financial Officer Sunit Patel said in a statement. The company, which cut more than 1,400 jobs last year, swung back to a loss after reporting its first profit since 2003 in the previous quarter.
Source: Bloomberg
General Motors Corp. will cut an additional 7,000 to 8,000 factory jobs in the United States, kill the Pontiac brand and shed 2,600 dealers by 2010 under a revised business plan developed with the Obama administration and announced today.
The new job cuts bring the total number of hourly jobs eliminated under GM’s plan to 21,000. GM said additional cuts among salaried workers would be expected, but did not give a specific target.
Source: Detroit Free Press
A new federal subsidy designed to help laid-off workers pay for health insurance could be out of reach for thousands of jobless workers because they worked for a small company or their former employer has gone out of business.
If an employer terminates its group health plan, former employees are ineligible for COBRA, says Michael Langan, principal with Towers Perrin, a human resources consultant. That makes them ineligible for the subsidy, too, he says.
Source: USA Today
David Kellermann, the acting chief financial officer of Freddie Mac was found dead at his home Wednesday morning in an apparent suicide, according to published reports.
His death comes as staff from the Securities and Exchange Commission and Justice Department have been probing the finance company about issues including possible accounting violations, The Wall Street Journal reported.
Source: MarketWatch
Wal-Mart Inc’s plan to eliminate jobs at its China unit has met with resistance from the up to 1,400 workers involved, the U.S. retailer said on Tuesday.
The company, which has 147 outlets in China and employs over 50,000, is removing a layer of management in its stores, leaving affected employees the option of taking a lower position with lower pay, said a company spokesman.
Wal-Mart is offering the employees the option of moving to a new store but for some people it is difficult to move. It is unknown how many people had accepted the company’s offer but a company spokesman said that negotiations had been going on for several months to find a solution.
Source: Reuters
Internet search company Yahoo Inc. announced Tuesday that it would slash 5% of its workforce as it reported a first-quarter profit that fell sharply from a year earlier but still managed to beat Wall Street’s forecasts.
The company said that the employees being affected in this latest round of cuts would be notified within the next two weeks. Last year, the company cut about 700 jobs on a net basis.
Source: CNNMoney
Yahoo Inc. is expected to posts declines in both profits and sales when it reports first-quarter results after the market’s close on Tuesday, though investors may be more keen on hearing more about the company’s reported plans for trimming more staff as part of an ongoing restructuring.
Last week, the New York Times reported that “several hundred” employees could be affected by the job cuts, which could be announced alongside Yahoo’s earnings report.
Source: MarketWatch
More jobs could be cut at Microsoft Corp., according to a prominent analyst who covers the company.
Sid Parakh of McAdams Wright Ragen brokerage in Seattle said Monday in a note to investors that “over the last week, we have heard from multiple sources that Microsoft may engage in additional restructuring activities in the near-to-mid term.”
A mother of 3 who lost her job last year in the hard-hit northern Indiana city of Elkhart is collecting $1.9 million from a Hoosier Lotto jackpot.
Shantay Britman, 35, of Elkhart said she was due to start a job next month but instead will take the summer off before resuming classes toward a general studies degree at Indiana University-South Bend.
Source: Fox28, Chicago Tribune
Even though the economy has taken a nose dive and job hunters are out in force, researchers say that by 2025 California will be starved for college-educated workers to fill available jobs.
In fact, the state will need about a million more college-educated workers than it’s expected to have – a shortage that will lead to a lower standard of living in California and more people needing social services, according to a new report by the Public Policy Institute of California.
The report predicts that 41 percent of workers will need a college diploma (4 in 10 jobs will require one), but only 35 percent of working-age adults will have the necessary degree.
Source: San Francisco Chronicle
Mobile phone maker Sony Ericsson on Friday said it would cut 2,000 more jobs after it swung to a loss of 293 million euros (384 million dollars) in the first quarter of the year.
“The additional cost saving programme announced today will include a further reduction in the global workforce of approximately 2,000 people,” the company said in a statement.
Source: AFP
Toshiba Corp. on Friday announced 3,900 more job cuts and predicted a record annual loss as the economic downturn continues to take a heavy toll on Japan’s high-tech giants.
Toshiba had already laid off 4,500 temporary workers in the last financial year to March as Japan’s recession deepened and exports slumped.
Source: AFP
Harley-Davidson plans to cut another 300 to 400 hourly production jobs over the next two years, the company announced Thursday morning when it released first-quarter earnings that show a decrease in revenue and net income.
The cuts are in addition to the 800 production layoffs the company announced last April. The first round of trimming called for the loss of 300 production positions at Harley’s production facility in Springettsbury Township.
Source: Trading Markets
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