Yes, We Have No Jobs Today, January 26, 2009

14 posts / 0 new
Last post
Headless's picture
Headless
Status: Gold Member (Offline)
Joined: Oct 28 2008
Posts: 363
Yes, We Have No Jobs Today, January 26, 2009

Even teacher cuts are on the horizon; if you think the education of America's children isn't going well now, wait until they increase class size to an even more unmanageable number; all the while, with parents who are under more and more stress every day. It's not good to be a kid in America right now...

 Sprint Nextel to eliminate 8,000 jobs

Pfizer to buy Wyeth for $68B, cut 8,000 jobs

Home Depot to cut 7,000 jobs, close Expo chain

ING to shed 7000 jobs this year

3600 jobs lost in Snohomish County last month

Austin lost 1800 jobs in Dec.; unemployment rate at 5.2%


100 Jobs Lost at Jonesboro Plant

Philips to cut 6000 jobs after quarterly loss

Jobs Lost as Auto Magazine Goes Out of Business (5000)

Another 50000 Tech Jobs Slated for Elimination


Caterpillar to Cut 20000 Jobs as 2009 Profit Slumps

1800 jobs lost as BHP shuts Raventhorpe nickel mine

Harley-Davidson set to cut 1100 jobs

Finance crisis claims 70000 more jobs


170 job losses planned as St Ives issues profit warning


Motorola reveals 546 local job cuts

IBM job cuts (cut up 16000 jobs in total)

Hoboken University Medical Center may face job cuts


85 jobs cut at 2 NYC public TV stations


Intel Could Cut 6000 Jobs

Starbucks may cut 1000 more jobs: report (Can $4/cup coffee really survive the next oil cycle? Prediction: Starbucks bankruptcy to coincide with the next oil price spike)


Plant closes, 10% of town's jobs cut

Japanese automakers cut 25000 jobs, slash output


Air Canada to cut 350 jobs

900 more jobs cut at Rohm and Haas


Webster Bank to cut 200 jobs, mostly in Conn.

Eaton to Cut 5200 Jobs in a 2nd Wave of Reductions

Major US Companies to Slash 45000 Jobs

Will Arizona have to cut teachers? Officials face-off

Cuts will lead to job losses, teaching unions warn

Headless's picture
Headless
Status: Gold Member (Offline)
Joined: Oct 28 2008
Posts: 363
Hope?

The Paddle Store

cat233's picture
cat233
Status: Platinum Member (Offline)
Joined: Aug 20 2008
Posts: 575
Bloody Monday: Over 71,400 jobs lost

Bloody Monday: Over 71,400 jobs lost

Seven companies announce massive job cuts in a scary
start to the week.

By Julianne
Pepitone
, CNNMoney.com contributing writer

NEW YORK (CNNMoney.com) -- The final week of January began with a bloodbath
for the job market, as over 71,400 more cuts were announced on Monday alone.

At least six companies from manufacturing and service industries announced
cost-cutting initiatives that included slashing thousands of jobs.

More than 200,000 job cuts have been announced so far this year, according to
company reports. Nearly 2.6 million jobs were lost over 2008, the highest yearly
job-loss total since 1945.

"It's all about the consumer, and the consumer's been hit hard," said Robert
Brusca, chief economist at Fact and Opinion Economics. "It's a vicious circle as
weakness begets layoffs, which beget more spending weakness."

Construction machinery manufacturer Caterpillar (CAT,
Fortune
500
) said
Monday
it will cut 20,000 jobs amid a "very challenging global business
environment." The company had already planned to cut 15,000 workers since the
fourth quarter of 2008, but added another 5,000, bringing the total to
20,000.

Pfizer (PFE,
Fortune
500
) said in an earnings report it would cut
10% of its staff
of 81,900 and close five of its manufacturing plants. And a
second round of cuts will shed about 15% of employees from the combined
Pfizer/Wyeth staff of 120,000. That makes a total of 26,000 jobs lost. The
company already cut 4,700 jobs in 2008.

Sprint Nextel Corp. (S,
Fortune
500
) will cut a total of about 8,000
jobs
by March 31, the company said in a release. The telecommunications
company's plan is to reduce internal and external labor costs by about $1.2
billion on an annual basis.

Home Depot (HD,
Fortune
500
), the world's largest home improvement retailer, announced Monday it
will eliminate its EXPO design center business and cut
7,000 associates
, or approximately 2% of the company's total workforce. The
company blamed a lack of demand for big ticket design and decor projects.

Texas Instruments (TXN,
Fortune
500
) said it will slash its workforce by 3,400 employees to cope with weak
demand and the slowing economy. More than half of those cuts will be layoffs
while "voluntary retirements and departures" will make up the rest.

Dutch financial group ING said Monday it will take a 2008 loss of $1.3
billion and cut 7,000 jobs. The company could not comment on where the cuts
would take place. ING employs around 130,000 people across 50 countries.

Deere& Co. (DE,
Fortune
500
) , the world's top farm-equipment maker, said it would cut nearly 700
jobs between factories in Brazil and Iowa.

The job cuts across sectors didn't surprise Brusca, as nearly all are weak,
he said.

"The services sector is shedding jobs at a horrific pace, because that's
where most of the jobs are," Brusca said. "When the consumer is in tough shape
it's hard for business to do well, because it all depends on consumption or
investments."

Continuing the scary trend

The cuts mark a horrific start to the week, and a brutal start to 2009. In
the previous
week
, around 40,000 cuts were announced across multiple industries.

Wednesday, in particular, was littered with a slew of job cuts: BHP Billiton,
Clear Channel Communications, Intel, Rohm and Haas Co., UAL Corp. and
Williams-Sonoma all announced job cuts totaling over 27,000 positions.

Schlumberger said Friday that it will cut 5,000 jobs worldwide, with 1,000 of
the cuts taking place in North America.

Also last week, Time Warner Inc.'s Warner Bros. Entertainment said it would
cut about 800 jobs, or 10% of its worldwide staff in the upcoming weeks, while
Microsoft unveiled its plan to cut up to 5,000 jobs - 5.5% of its global
workforce.

Outlook: A recovery in sight?

Brusca said he agreed with many economists' predictions that the recession
will end after the second quarter of 2009. Americans might feel the job market
start to bounce back a bit sooner than expected, he said.

"These recessions are like geometry," Brusca said. "It looks like we'll have
a V-shaped cycle, in that we're going into this with very sharp losses. This
intense-phase recession will probably recover fairly quickly, with the job
market coming out it at the same angle it came in."

In the short term, the economy and the job market are in trouble, Brusca
said. But "it doesn't look like the bottom is falling out of the economy," he
said.

And there's a silver lining to the gloomy clouds over America's economy.

"The good news is it's so bad right now that we will have a definite,
noticeable recovery when it comes," Brusca said. "We're getting a lot of
adjustment out of the way early." To top of page

 

MarkM's picture
MarkM
Status: Platinum Member (Offline)
Joined: Jul 22 2008
Posts: 837
Re: Bloody Monday: Over 71,400 jobs lost
cat233 wrote:

"The good news is it's so bad right now that we will have a definite, noticeable recovery when it comes," Brusca said. "We're getting a lot of adjustment out of the way early." To top of page

 

 

The good news is the cancer is so bad that you will really notice when you start to feel better.

Where do these people come from?

cat233's picture
cat233
Status: Platinum Member (Offline)
Joined: Aug 20 2008
Posts: 575
Re: Bloody Monday: Over 71,400 jobs lost
MarkM wrote:
cat233 wrote:

"The good news is it's so bad right now that we will have a definite, noticeable recovery when it comes," Brusca said. "We're getting a lot of adjustment out of the way early." To top of page

 

 

The good news is the cancer is so bad that you will really notice when you start to feel better.

Where do these people come from?

Mark,

Answer.... The article says Mr. Brusca is an economist.

There you go!

Cat

 

 

Arthur Vibert's picture
Arthur Vibert
Status: Silver Member (Offline)
Joined: May 16 2008
Posts: 116
Re: Yes, We Have No Jobs Today, January 26, 2009

Thank God he's not a doctor!

Arthur 

Headless's picture
Headless
Status: Gold Member (Offline)
Joined: Oct 28 2008
Posts: 363
Re: Yes, We Have No Jobs Today, January 26, 2009

Brusca might just as well have said: "Well, children may be starving, but that's the great thing about America; you can have chldren starving one week and make a killing in the market the next."

cat233's picture
cat233
Status: Platinum Member (Offline)
Joined: Aug 20 2008
Posts: 575
More than 10,000 job cuts announced Tuesday

More than 10,000 job cuts announced Tuesday

The bloodletting for the U.S. job market continues as
companies across the economic spectrum announce a slew of workforce
reductions.

By Julianne Pepitone CNNMoney.com contributing
writer
Headless's picture
Headless
Status: Gold Member (Offline)
Joined: Oct 28 2008
Posts: 363
Re: Yes, We Have No Jobs Today, January 26, 2009

Maybe Brusca could give us the positive spin on this:

cat233's picture
cat233
Status: Platinum Member (Offline)
Joined: Aug 20 2008
Posts: 575
Re: Yes, We Have No Jobs Today, January 26, 2009

Lee,

I saw that, very sad ... Maybe Brusca should  "adjust" what he had to say.

Cat

... and found this about Brusca... I just might write the man.

Robert Brusca Ph.D. has been an economist on Wall Street since 1977. He has
been a Division Chief at the NY Fed, a Fed-watcher at a major NY commercial bank
and Chief Economist at major international securities firm. He is now an
independent voice on the economy global trends and the political scene,
operating a consulting firm in New York City. FAO Economics can be reached at
212-875-8637.  [email protected]

cat233's picture
cat233
Status: Platinum Member (Offline)
Joined: Aug 20 2008
Posts: 575
A reply from Dr. Brusca
Nonzeroone wrote:

Maybe Brusca could give us the positive spin on this:

.... And here is your positive spin....

I  emailed Dr. Brusca, included a link to the article in CNN quoting him. 

http://money.cnn.com/2009/01/26/news/economy/job_cuts/index.htm?postversion=2009012711 

Also include a link to this article, reporting the same story Lee mentioned.

http://www.cnn.com/2009/CRIME/01/27/family.dead/index.html

 

Include this from Dr Brusca and the CNN article.

In the
short term, the economy and the job market are in trouble, Brusca said. But "it
doesn't look like the bottom is falling out of the economy," he said.

"The good
news is it's so bad right now that we will have a definite, noticeable recovery
when it comes," Brusca said. "We're getting a lot of adjustment out of the way
early."

I asked him one question...

"I was
wondering to what kind of adjustment you are referring?"

His reply...

It’s a recession –old fashioned real
recession. The severe phase is frightening- it always is. But it ends. A lot has
been done to make it ends with rate cuts and coming fiscal
stimulus.

The GOOD NEWS is that unlike the past two
recessions there will be a noticeable change when we exit the severe phase even
if some job losses continue. So that’s the good news in the bad news. The past
two recessions were U-shaped so it was hard to detect the transition at the
recession’s bottom. This one is V-shaped and the transition will be clearer and
that will help to set expectations for recovery. Because asset prices are so
beat –up once investors can see an up side there can be a pretty rapid recovery
in some of those prices – stocks and houses in
particular.

RAB

I know I feel better... Cat

Headless's picture
Headless
Status: Gold Member (Offline)
Joined: Oct 28 2008
Posts: 363
Re: Yes, We Have No Jobs Today, January 26, 2009

Cat,

Admirable...the direct email.

Brusca says,

"Because asset prices are so beat –up once investors can see an up side there can be a pretty rapid recovery in some of those prices – stocks and houses in particular."

We'll have to remind the 15 Million unemployed Americans about this great opportunity...

Cat, You have so much more faith in people (like Brusca) than I do. My cynicism runs so deep that, not only would I never have emailed him (feeling there was nothing to gain), but I would have exiled from town if I were sheriff and he were among the constituents--just for that one comment.

I admire whatever it is you have that died and rots within me as I type...

Lee

P.S.

Mr. Brusca,

I do not think that letter (V) means what you think it means...

-------------------------------------------------------------------------------------------

"They're all crooks; the ones who aren't, well, they're dead."

~Cicero

cat233's picture
cat233
Status: Platinum Member (Offline)
Joined: Aug 20 2008
Posts: 575
Re: Yes, We Have No Jobs Today, January 26, 2009

Lee,

I wrote him back... and Brusca did reply once again.  

Since Dogs isn't here with his capacious vocabulary... I haven't gotten back to him.. You know, I just trade the stock market and don't write these manifestos like you and Dogs ...  And I have lost faith after reading his response!

Cat

Figures lie and liars
figure.
 

US government Debt to GDP ratio is NOT LARGE
by international standards.

You must remember to make international
comparisons when you ask ‘who will buy our debt?’  As long as China,
Japan etc run balance of payments surpluses deficits are forced on the rest of
the world. The US in some sense has to have a
deficit. China Japan etc,  will have not choice but to buy our debt and finance
our deficit which is the source of their surplus.

If others do not buy our debt the dollar
will fall and US
competitiveness will improve and the US will cut its trade deficit and no
longer need foreigners to buy so much of its debt.
 

In economics one thing depends on
another…
 

As for the time series comparisons on
US debt, they are difficult to make
and remember one person’s liability is another’s assets. So be careful looking
at only one side of the balance sheet. Until recently I would have reminded you
that mortgage debt is the counterpart of high housing values. Still, house
prices WILL at some point rebound and so will stocks.

This (meaning right now) is a bad time to
try and mark the nations assets to market.

The world has a problem with debt and with
coming social security (generically old age financing) problems since we were
all in the same world war and all nations sport the same population dynamics.
Before throwing in the towel on the US, note that China,
juggernaut that it seems, may be in the worst demographic trouble of all due its
one child policy. In about 30Years or so China is going to have a HUGE imbalance
of men compared to women and since so many families chose to have a boy-child,
not a girl. One can only wonder how that will play out as social instability
factor.

There are all sots of things to consider.
But US government Debt to GDP is not a
ratio that is now a problem. The US does have challenges in addressing
social security and Medicare Medicaid and on its budget ahead. Private sector
debt has moved up because car prices relative to income have risen, house prices
relative to income have risen and the cost of a college education relative to
income has risen. All these factors and more require a greater use of
debt.
 

Debt acquisition eventually constrains
future spending and growth. But these sorts of draconian things predictions like
repudiation etc are jingoism. By world standards US finances are in good shape
and we can afford the stimulus package.     
 

Remember: one man’s liability is another
man’s asset. It works for women too.

Headless's picture
Headless
Status: Gold Member (Offline)
Joined: Oct 28 2008
Posts: 363
Re: Yes, We Have No Jobs Today, January 26, 2009

Cat,

I guess the guy deserves credit for being so responsive--even if he is utterly wrong...

These guys are so insulated in their little worlds; if you took a look down  (from space, using Google Earth) on the paths they trek on any given day, you'd probably see a pretty well worn rut that didn't come within anyone making less than $1M/year...

One of my closest friends (why, I'm no longer sure) is also a teacher, but he grew up on the beach in Del Mar--rich as it gets; even though he works with poor kids that are brought in via bus, he still has no empathy toward the poor; he thinks he deserves the house on the beach that he didn't have to lift a finger for--utterly amazing! For Brusca and those that crawl through that particular gutter of a path through life, there is utterly no chance that he will ever get it.

Other than that, he seems like a nice guy...

 Lee

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Login or Register to post comments