LayoffBlog.com

January 7, 2009

China vows to boost employment in 2009

Filed under: China,worldwide — 7macaw @ 9:08 am
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China has embarked on active measures to minimize job cuts and has pledged to boost employment this year:

  • An early warning system is being set up to conduct monitoring of the job situation. The system is designed for regional labor and social security offices to collect employment information, such as the possible job cuts and the planned new recruits in the following week and the actual cuts.
  • Many cities are to encourage people to start businesses. Jiangsu and Zhejiang provinces pledge to kick in favorable measures including free skill training for laid-off workers.
  • The Shanghai government also encouraged business start-ups to increase jobs. The city pledged to limit the registered unemployment rate to below 4.5 percent

Source: China Daily

January 6, 2009

Union tries to organize IBM workers

According to Yahoo Tech: “One message states that IBM will announce 16,000 layoffs on Jan. 23, affecting workers worldwide. Similar predictions are made in other recent posts on the site, which is run by the Alliance@IBM/Communications Workers of America Local 1701, a union that is trying to organize IBM workers.”

“The union, while still in an organizing phase and not yet recognized by IBM, has about 6,000 members, including IBM employees and retirees, according to national coordinator Lee Conrad. But because the union has not reached an employment contract with IBM, there is “not an awful lot” it can do except raise awareness of the issue”.

LayoffBlog.com: Stay tuned for more info.

January 5, 2009

Rumor: Massive layoffs are coming to IBM later this month

An unofficial online employee Web site, IBMemployee.com, says massive layoffs are coming to Big Blue later this month, according to Times Herald-Record.

“All divisions in IBM will be affected,” says one entry, adding the majority of those cuts will be announced Jan. 23.

“Several more posts say approximately 16,000 employees, mostly in the U.S., will be affected.”

  • IBM has more than 386,000 employees worldwide, according to its Web site. If the rumored 16,000 figure proves accurate, then, it would equal roughly a 4% reduction in headcount.

IBM’s been cutting people every couple of weeks, but they’re small, silent cuts. What we’re concerned about is a massive one, according to various insider sources.

Update: Union tries to organize IBM workers

Update 1 (Jan 06, 2008): IBM Employees Buzzing About Layoff Rumors

Update 2 (Jan 11, 2009): IBM approves Obama’s IT stimulus package; $30bn will create 900,000 jobs, healthy IBM

Rumor (Jan 19, 2009): Massive layoff packages offered on 1/27

Update 3 (Jan 19, 2009): Stress levels rise at IBM as word of job cuts swirls

Update 4 (Jan 20, 2009):

  • Several sources warn of imminent job cuts announcement.
  • IBM Profit Tops Forecast; Outlook Better than Expected, according to CNBC: “The guidance of $9.20 is awesome… looks like their outsourcing, packaging, cost containment strategy is working. They executed really well..”

Update 5 (Jan 21, 2009):

  • According to rumor, IBM started to cut sales and engineering positions in US.
  • The arguably more-important indicator of IBM’s performance — its top line — fell 6.4%, according to WSJ

Update  6 (Jan 22, 2008):

  • IBM confirms job layoffs: “28 out of 45 cut,” according to a another entry, from Austin, Texas. “Young and old, top and bottom performers. Never show me great 4Q numbers again.”, according to Betanews
  • IBM employees reported yesterday that the layoffs are already happening in IBM software and distribution divisions in the US and Canada, according to multiple news sources

Update 7 (March 11, 2009): Scattered layoffs in IBM can touch 4,600

Update 8 (March 25, 2009): IBM to Cut 5,000 U.S. Jobs, Shifting Work to India

~ LayOffBlog.com: Please feel free to comment this info and/or send us your updates regarding IBM layoffs. ~


January 4, 2009

Asia: Slowdown takes a toll on industries

According to China Daily: “The financial tsunami has triggered panic around the world, with its impact taking a heavy toll on a variety of industries in Hong Kong. Turmoil in the global credit markets has severely weighted down earnings of the banking and finance industry, which triggered a wave of job cuts among local banks.”

  • Starting from September, Europe’s largest bank HSBC laid off 4 percent of its worldwide back-office staff, including 100 employees in Hong Kong
  • In November, HSBC axed 450 jobs in Hong Kong in its second round of layoff.
  • In early November, Southeast Asia’s biggest bank DBS trimmed its workforce by 6 percent, or 900 jobs, in its Hong Kong and Singapore operations
  • Standard Chartered Bank, a UK-based lender focused on emerging markets in Asia,shed 200 jobs – 4 percent of its staff – in Hong Kong in early December.
  • Banks in Hong Kong may further reduce their staff numbers in the first half of 2009
  • In early October, Hong Kong toy maker Smart Union Group closed down its two factories in Dongguan, throwing almost 7,000 workers into unemployment.
  • Around 5,000 factories in the region had already closed down amid the financial meltdown.
  • The Christmas sales in the US tumbled around 20 to 30 percent this year, which means the export market for the mainland has significantly shrunk
  • Hong Kong-funded factories in the PRD may close down in 2009
  • The bankruptcy of Lehman Brothers in September has also severely affected more than 40,000 holders of Lehman’s minibonds in Hong Kong

Stepping into 2009, economists expect it may take quite a while for the territory’s economy to bounce back, according to China Daily

December 31, 2008

Ten Million Chinese migrant workers have already left cities

According to CNN Money: “China’s ocean of blue-collar workers is streaming back to the country’s farming hinterland, bringing thwarted aspirations and rising discontent in tow as their city jobs, their paths out of poverty, fall victim to the global economic crisis.”

“Officials estimate that more than 10 million migrant laborers have already returned to the countryside as thousands of companies have been dragged under by weak global demand for everything from clothes to cars.”

“Over the past three decades, about 130 million people have left China’s countryside for the smokestacks, assembly lines and construction sites of cities.”

“Many economists forecast growth next year of less than 7.5%, the country’s lowest since 1990 and a level that would swell the ranks of the jobless.”

“The social security ministry says 10% of all migrants have already gone back to the countryside.”

December 16, 2008

Laird PLC cuts 5,000 jobs in US and Europe, transfers production to China and Mexico

According to Laird PLC press release: “The flexibility of our business has allowed us to respond rapidly to the slowdown. In the final quarter of the year, our direct labor will have been reduced by about 40%, or some 4,500 employees (including the normal seasonal reduction at year end), and direct and indirect overhead by approximately 14%, or some 500 employees. Our manufacturing facility in Hungary is in the process of being closed, and three of our facilities in the US will be closed or downsized significantly, with production from these sites transferred to Mexico and China.”

About Laird: “Laird is a focused electronics and technology company employing some 14,500 people in operations in North America, Europe and across Asia.

December 10, 2008

Economic pain hits China as exports fell last month

Filed under: China,economy — DF @ 11:03 am
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According to IHT: “China’s exports fell for the first time in seven years, the government reported Wednesday, sliding 2.2 percent in November and providing stark evidence that the global financial crisis had arrived here in earnest. In October, by contrast, exports had surged 19.2 percent.

Imports also plunged sharply last month, falling 17.9 percent and widening the trade surplus to $40 billion from $35.2 billion in October.”

November 25, 2008

World Bank Cuts China’s 2008 Growth Outlook to 9.4%

Filed under: China,News — DF @ 10:31 pm
Tags: , , , ,

According to WSJ: “The World Bank cut its forecasts for China’s economic growth because of weaker housing demand and softer private investment and consumption as well as the global downturn.

In its latest China Quarterly Update, the World Bank said China’s economy will likely grow 9.4% this year, slower than 11.9% in 2007 and its earlier projection of 9.8%.

The bank cut its growth forecast for 2009 to 7.5% from 9.2% earlier.”

November 21, 2008

Top official meets rioters as China seeks stability

According to Reuters: “The governor of a Chinese province sat down with protesters after they fought pitched battles with police, a rare concession by a leader and a sign of government concerns about stability as the economy slows.

Xu Shousheng held a meeting with 10 representatives in Wudu in the poverty-stricken northwestern province of Gansu two days after the riot in which dozens were injured, state media said.”

Reuters

Riots in China

Photo: Reuters

November 20, 2008

Data dim hopes of Asian stability

According to International Herald Tribune: “Yin Weimin, China’s minister of human resources and social security, warned that unemployment would rise further next year and that “stabilizing employment is the top priority for us right now,” Reuters reported. It was a sign that the Chinese authorities were increasingly concerned about the potential social fallout in a slowing economy.”

 Data dim hopes of Asian stability

Data dim hopes of Asian stability

Photo: The Associated Press

China fears job riots

According to CNN: “China’s job outlook is “grim,” and the global financial crisis could cause more layoffs and more labor unrest until the country’s economic stimulus package kicks in next year, the nation’s minister of human resources and social security said Thursday.
Thousands of graduates crowd a jobs fair in Nanjing but vacancies are becoming harder to find. The stimulus package, unveiled earlier this month, will pump $585 billion into rebuilding communities destroyed by the May earthquake, constructing railways, housing, airports and highways, and funding other projects.”

China fears job riots

China fears job riots

Photo: CNN

November 18, 2008

China to lay off 3.5m state workers

According to BBC News “China is preparing to cut the state workforce in the latest move to keep economic recession which has gripped South East Asia at bay.The minister of Labour, Li Boyong, said redundancies in the state sector this year were likely to add about 3.5 million to the country’s jobless total.”

China fears fast-rising unemployment could trigger social unrest

China fears fast-rising unemployment could trigger social unrest

Photo: BBC

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