Mike: A relatively busy day for layoffs and economic reports that seemed to be taken as a positive for the day. What was bad news last monthis taken as good news this onth, as far as the market is concerned. I hope you are all making money during this time of positive news, but don’t get complacent. Till tomorrow and the jobless claims report. Any guesses on the number of claims? I think they will improve to 602,000, but don’t quote me on that!  
Tomorrow I’ll have to tell you about my experience trying to apply for a government contracting gig. You may not be surprised to find out it  is a maddening experience that involves more than four different agencies ………………………

Today brings us a variety of job related economic reports starting with MBA Purchase Applications, (U.S. mortgage applications upwhich measures mortgage applications and is a leading indicator of housing employment. Then we have the Challenger Job-Cut Report (Layoffs: Pace of job cuts may be starting to slowand the ADP Employment Report (

ADP Estimates U.S. Companies Cut Fewer Jobs )  which precede Friday’s much anticipated monthly jobless report Employment Situation. And then there’s the weekly Jobless Claims report on Thursday. All four job related reports will give us a good picture of how the job market is reacting to stimulus funding, and the demise of the auto makers.  

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Donna Barstow - May 6

Donna Barstow - May 6


* Larger layoff announcements and important economic reports:


Microsoft/Google/IBM and other Rumors & News


msft3– Microsoft notified the state at about 12:30 p.m. that it would lay off 1,200 people in the Puget Sound area, and the layoffs will take effect beginning July 4, according to the Employment Security Department.

via Microsoft layoffs number 1,200 in Puget Sound.


msft4– Steve Ballmer has emailed all Microsoft staff as the second wave of planned redundancies at the software giant begins to bite today.

Earlier in the year, Ballmer announced 5,000 job losses as Microsoft works to cut costs in the face of a shrinking world economy. He said the firm would cut jobs by the middle of 2010.

via Ballmer email kicks off second round of Microsoft layoffs • Channel Register.


General Economic News


-Demand for home purchase loans, an indicator of home sales, far outweighed that for refinancing. The increase may help gauge how the hard-hit U.S. housing market is faring this spring, the peak home buying season.

The Mortgage Bankers Association said its seasonally adjusted index of mortgage applications, which includes both purchase and refinance loans, for the week ended May 1 increased 2.0 percent to 979.7.

via U.S. mortgage applications up despite jump in rates | U.S. | Reuters .

– May 6 (Bloomberg) — Job cuts announced by U.S. employers in April increased 47 percent from a year earlier, led by government agencies and companies in the automotive industry, while the total was the lowest since October.

Firing announcements rose to 132,590, compared with 90,015 in April 2008, Chicago-based Challenger, Gray & Christmas Inc. said today. Government employers and auto companies announced the largest cutbacks, accounting for 39 percent of the layoffs.

via U.S. April Job Cuts Rise 47% From a Year Ago, Challenger Says – Bloomberg.com.

– “Large businesses, defined as those with 500 or more workers, saw employment decline by 77,000, while medium-size businesses with between 50 and 499 workers declined 231,000. Employment among small-size businesses, defined as those with fewer than 50 workers, declined 183,000. The employment declines among medium- and small-size businesses indicate that the recession continues to spread beyond manufacturing and housing-related activities to almost every area of the economy,” said Prakken.

Job cut announcements by U.S. employers totaled 132,590 in April, a decline of 12% from March’s 150,411 cuts. This marks the lowest total since last October, according to Challenger, but the April figure was still 47% higher than job cuts announced in the same month a year ago.

via ADP National Employment Report Shows U.S. Employment Decreased by 491,000 Private Sector Jobs in April.


– May 6 (Bloomberg) — Companies in the U.S. cut fewer jobs in April, indicating the worst of the recession’s employment losses may have passed, a private report showed today.


gm2– Although specifics, such as which plants would be shuttered, were not discussed, Henderson told members that he still plans to discuss job cuts and plant closures with the UAW.

via GM chief plans to discuss job cuts | Freep.com | Detroit Free Press.


Mike: I find it interesting that the taxpayer is giving Chrysler $7,000,000,000 without regard to repayment. So basically the government, or the taxpayer if you prefer, is giving Chrysler $7 billion to be taken over by a foreign car maker and at the same time Chrysler is closing North American manufacturing plants and laying off thousands. As with the banks, the government gives billions to failing companies and receives little or nothing in return.


– NEW YORK (CNNMoney.com) — Chrysler LLC will not repay U.S. taxpayers more than $7 billion in bailout money it received earlier this year and as part of its bankruptcy filing.

This revelation was buried within Chrysler’s bankruptcy filings last week and confirmed by the Obama administration Tuesday. The filings included a list of business assumptions from one of the company’s key financial advisors in the bankruptcy case.

via Chrysler won’t repay federal bailout ‘loans’ – May. 5, 2009 .


Matt Davies - May 6

Matt Davies - May 6



Government Layoff News



– Faced with a looming $530-million budget gap, the Los Angeles City Council voted Tuesday to initiate the layoff process for up to 400 city workers and to eliminate 1,200 vacant positions.

via L.A. council votes to begin layoff process for city workers – Los Angeles Times.


– FRANKLIN (SOMERSET) — A budget shortfall that has been anticipated for several years has forced the layoffs of 28 township employees and multiple cuts in services.

via 28 Franklin employees laid off, services cut to close $6.5M budget shortfall | mycentraljersey.com | MyCentralJersey.com.


– FREEHOLD — About 100 Monmouth County government employees lost their jobs Monday, the result of economy-driven layoffs that county officials said will create payroll savings of several million dollars.

via County lays off 100 workers | APP.com | Asbury Park Press.


– LAKEPORT – Faced with a major structural imbalance and a huge deficit in the county’s Mental Health Department budget, the Board of Supervisors on Tuesday accepted a staff recommendation to eliminate 18 department positions, or nearly 30 percent of its staff.

via Lake County News | California – Board of Supervisors votes to eliminate 18 Mental Health positions.


-State Police posts in Ypsilanti and Brighton will eliminate a combined eight troopers by July under state budget cuts announced Tuesday, officials said.

via 8 state troopers cut from local posts – MLive.com.


– District officials said the cuts would include 82.5 positions and the closure of two schools. The cuts were to take effect before the next school year. The district called the cuts the largest it’s ever had to make.

via Little Miami To Cut Jobs, Close Schools After Levy Fails – Money News Story – WLWT Cincinnati.


– FRANKLIN – Harsh economic times have forced this Somerset County township’s officials to lay off 28 people from 14 departments, Mayor Brian Levine said today.



US and some Canada Layoff News



ebay– BURNABY (NEWS1130) – The local economy is taking a hit, as eBay says it will close its call centre in Burnaby.  The company says 700 local jobs will be lost as the online marketplace consolidates its operations.


– ATCHISON, KAN. – Atchison, Kansas is taking a big hit. Bic Graphic USA announced it will close it’s plant there.

The company employs about 90 people at its Atchison location.

via Bic Graphic to Close Atchison Plant – WDAF.


– Parkdale America will close its Sanford plant on June 30, eliminating 81 jobs.

via Parkdale America closing Sanford textile plant, eliminating 81 jobs – The Business Journal of the Greater Triad Area: .


– The company said Tuesday that 48 people lost their jobs in the shutdown. It employed as many as 300 people in 2005 but has cut jobs in each of the last two years

via Biederlack closing: Blanket maker Biederlack closing in Cumberland, Maryland — baltimoresun.com.


– The Fargo plant opened in 2006. It was praised then as a promising high-tech business venture that could bring more than 1,000 jobs to the area. Last fall, it employed about 35.

via Alien Technology considering closing Fargo plant |  The Dickinson Press  | Dickinson, North Dakota .


– Fifty-nine people will lose their jobs this summer when ACH Food Companies closes its Humboldt manufacturing plant.

via Cheese factory to close; Humboldt will lose 59 jobs | jacksonsun.com |


allstate– Allstate Insurance Co. has notified the state that it will be closing its Miami claim office and laying off 66 employees, effective July 1.

via Allstate to close Miami office, lay off 66 – South Florida Business Journal: .


– About 70 to 75 workers at the Brent & Sam’s cookie factory in North Little Rock will lose their jobs when the plant is shuttered in July.

via NWAnews.com :: Northwest Arkansas’ News Source.


– LITTLE ROCK — Little Rock-based Affiliated Foods Southwest Inc. filed for bankruptcy Tuesday and expects the 53-year-old business to be liquidated soon.

via Affiliated Foods files Chapter 11; jobs lost.


– There is some concern in Niagara County about the future of the Summit Park Mall. On Tuesday, the owners of the Wheatfield shopping center filed for bankruptcy, citing the poor economy as the final straw.

via wgrz.com | Buffalo, NY | More Than 200 Mall Workers Lose Jobs.


– Separately, Neurocrine Biosciences announced the staff reductions of approximately 60 employees, as a part of its restructuring program. Following these reductions, Neurocrine will have approximately 60 employees.

via RTTNews – Quick facts Articles, Positive EPS Surprises, News Analysis, Earnings, Audio News…. .


– Sherwin Alumina Co. in Gregory reduced its work force by 20, citing the global economy and lower aluminum prices, the company announced Tuesday. L3 Communications, a contractor with the Corpus Christi Army Depot, let go of nine people Friday, spokesman Lance Martin confirmed Tuesday.

via 29 workers lose jobs at two work sites : Corpus Christi Local Business | Caller-Times | .


– The Unison Engine Components plant in Asheville announced that it cut about 50 hourly jobs at the beginning of the month.

via ABC 13 – Top Stories.


– May 6 (Reuters) – Canada’s Manitoba Telecom Services (MBT.TO) posted lower first quarter profit and said it would implement further cost reductions allowing for additional 160 headcount cuts at MTS Allstream.

via UPDATE 1-Manitoba Tel reports Q1 profit; To cut 160 jobs | Industries | Technology, Media & Telecommunications | Reuters .


– EUGENE, Ore. (AP) – A company that makes mobile barcode scanning devices, Datalogic, says it will cut its Eugene staff by 89 jobs, or about 20%, by shifting manufacturing to Italy.

via Eugene firm to cut 89 jobs – KTVZ.com Central Oregons News, Weather and Sports Leader – .


– Quad/Graphics Inc., the nation’s third-largest privately held printing company, said Tuesday it will lay off 140 more employees this week.

via Quad/Graphics to lay off 140 more employees – The Business Review (Albany): .


– Most of the company’s 275 employees at the plant that handles parts packaging and export consolidations services for Caterpillar Inc. – work that has been canceled – will be laid off by early September if new work isn’t found, said Jennifer Ruggles, vice president of human resources for Milan-based XPAC, formerly known as Export Packaging.

via Bartonville’s XPAC may be forced to lay off most employees, close plant – Peoria, IL – pjstar.com.


– About 116 workers at ArcelorMittal Holdings Inc.’s Monessen coke plant will be laid off indefinitely beginning July 5, the steelmaker said in a letter the state released today.

via Steelmaker to lay off 116 at Monessen coke plant – Pittsburgh Tribune-Review .


gavel2– On Tuesday, management at the 300-lawyer firm changed course, laying off 15 associates and seven more staff.

via Law.com – Fenwick & West Lays Off 15 Associates, 7 Staff .


– Michael Cade, executive director of the Thurston County Economic Development Council, reported Tuesday that the Spring Air – Consolidated Mattress assembly plant in Lacey has closed.

via CLOSURE: Lacey mattress plant shuts doors; 45 people laid off from facility – Business – The Olympian – Olympia, Washington.


newspaper2– LOWELL, Ark. — The Arkansas Democrat-Gazette cut 16 newsroom jobs Tuesday, equal to 7 percent of the news staff at the state’s largest newspaper.

via Democrat-Gazette Lays Off 16 In Newsrooms – Local News Story – KHBS NW Arkansas.


– The struggling Oak Ridge Military Academy has laid off 11 staff members, the president of the school told FOX8.

via 11 Oak Ridge Military Academy Staff Members Laid Off – WGHP.


– The layoffs, of one clinical manager, one counselor and one support staff position, were the first at the nonprofit agency since it opened in 1985, Mahier said. She said that the layoffs took effect at the end of March.

via TheDay.com – Hospice Of SECT Lays Off Three As Revenues Decline .


schilling-robotics-Schilling Robotics LLC, which manufactures unmanned submarines and robotics for the offshore oil and gas industry, has laid off 35 percent of its staff in Davis, or 95 employees, according to documents filed with the state Employment Development Department.

via Schilling Robotics lays off 95 people – Sacramento Business Journal: .


– Bill Hermann, the managing partner at Southfield-based Plante & Moran P.L.L.C., confirmed Tuesday that the accounting and consulting firm laid off about 80 employees last Thursday.

via Accounting firm Plante & Moran lays off 80 employees – Detroit News and Information – Crain’s Detroit Business .


gavel3– Milbank Tweed Hadley & McCloy on Monday laid off 49 associates and 40 staff, a firm spokesperson has confirmed to The Am Law Daily. The cuts represent an 8.4 percent reduction of the firm’s lawyer ranks. The firm provided no details about the job cuts. The layoffs were first reported on the blog Above the Law.

via Milbank Confirms Layoffs of 49 Associates, 40 Staff .


hamilton-sundstrand– Hamilton Sundstrand laid off 62 hourly employees Monday, according to a representative of the Machinists union.

via Hamilton Sundstrand Lays Off 62 Workers — Courant.com.


alcoa– Alcoa Inc. will be idling indefinitely its North American Rolled Products manufacturing facility in Texarkana, Texas, by the end of the third quarter, the company told ArkansasBusiness.com.

via Alcoa to Idle Texarkana Plant – ArkansasBusiness.com .


– Plano-based Perot Systems Corp. said Tuesday that it will cut about 90 jobs in the Dallas-Fort Worth area – and about 450 overall – after the weak economy squeezed its sales in the first quarter.

via Perot cutting 450 jobs after sales fell 9% | News for Dallas, Texas | Dallas Morning News | Dallas Business News .


– The closure will put 111 mechanics, welders, electricians and other employees out of work, company President David Swanson said.

via Business & Technology | Tacoma’s Coast Engine and Equipment closing; 111 to lose jobs | Seattle Times Newspaper.


– CFO John Pitstick: Yes, we were down about 40 headcount in total across the company. So that’s 3% or 4% of the total.

via ValueClick Q1: No Growth to Be Seen; 40 Jobs Lost | BNET Advertising Blog | BNET.


– CALGARY – Trinidad Drilling Ltd. has cut more than 500 jobs and is looking at moving more rigs into international markets as it tries to deal with a severe slump in North American oil and gas drilling.

via Trinidad Drilling cuts 500-plus jobs; shifts focus to global markets .


us-steel– U.S. Steel Corp. plans to lay off about 70 workers by early next week from its Midwest plant in Portage, a union official said.



International Layoff News



fiat1– ROME, May 5 (Reuters) – Italian carmaker Fiat (FIA.MI) on Tuesday denied a German press report saying it would slash jobs and close plants under plans for a deal with Opel.


– PricewaterhouseCoopers, one of the ‘big four’ accounting firms, has asked staff to take two or three weeks leave to cut corporate costs.

via Accounting firm PricewaterhouseCoopers asks staff to take unpaid leave | Business | News.com.au.


– ABOUT 60 workers at a Brisbane sportswear factory have been given the shock news their jobs are likely to go after the company went into receivership.

via Sportswear factory cuts 60 jobs | The Courier-Mail.


– About 150 people have lost their jobs in Aberdeen and Dundee after an offshore services company ceased trading.

via BBC NEWS | UK | Scotland | North East/N Isles | Offshore company sheds 150 jobs.


– Tourism Holdings has confirmed today that 64 jobs will go at its Hamilton-based manufacturing business Caravans International Munro due to shrinking demand.

via Tourism Holdings says 64 jobs lost at caravan maker | National Business Review (NBR) New Zealand – Business, News, Arts, Media, Share Market and More.


– The not-for-profit group Vision Australia, which provides free services to blind people, has announced it is sacking 130 staff.

via Vision Australia cuts 130 jobs – ABC News (Australian Broadcasting Corporation).


bbc– BBC News is to axe the equivalent of 88.5 full time posts, with the majority coming from newsgathering.

via Almost 90 jobs to be axed from BBC News 


rbs-The Royal Bank of Scotland International (RBSI) is to cut 90 jobs at its offshore centres, including Jersey, Gibraltar, Guernsey and the Isle of Man.

via RBSI to cull 90 offshore jobs | IFAonline.co.uk.


– Orcon is to lay off more employees, as it looks to cut costs in anticipation of a more challenging year.

via Radio New Zealand News : Stories : 2009 : 05 : 05 : Orcon to cut more jobs .


– Zambia’s second leading copper producer, Mopani Copper Mines, has laid off up to 1,000 miners in a restructuring program aimed at coping with rising costs of production amid low global metal prices, a union official said late Tuesday

via DJ Zambia’s Mopani Copper Mines Lays Off 1,000 Workers -Union – MarketWatch .


medtronic– Medtronic CardioVascular began the final phase today of a four-year project that will complete the transfer of manufacturing for several of its medical devices to Galway, Ireland. The move affects 240 local manufacturing and support personnel, reducing employment levels at the company’s two Santa Rosa units to about 900.

via DOTmed.com – 240 Manufacturing Employees Laid Off From Medtronic .


– Some 9,000 workers operating in the forestry sector have been laid off in Congo due to the effects of the global financial crisis, according to the Director-General of forestry economy, Donatien Nzaba.



Hiring News and News You Can Use



– And if surveys from the past few weeks are to be believed, the technology sector sees a glimmer of optimism on the staffing front. Here’s a look at some of the latest surveys making the rounds:

via Surveys Say: Tech Companies Are Still Hiring – Venture Capital Dispatch – WSJ.


– A newly completed customer service center for Safelite AutoGlass will mean 300 new jobs in Columbus for the company.

via Safelite adding 300 Columbus jobs – Business First of Columbus: .


-Metal Technologies Auburn, of Auburn, said today it would add up to 32 permanent jobs and another 20 temporary positions by the end of the year as part of a $1.5 million expansion.

via Foundry to add 50 jobs | The Journal Gazette, Fort Wayne, Ind..


– Southwestern Pennsylvania has more than 20,000 open jobs, according to ImagineMyNewJob.com.

via 20,000 jobs open across Southwestern Pennsylvania, agency says – Pittsburgh Tribune-Review.


– The Massachusetts Mutual Life Insurance Co. is hiring 50 to 60 full-time workers in the area, part of a national campaign to add 2,000 people, company officials announced Tuesday.

And Ameritrust Mortgage of Charlotte will hold a job fair May 15 with the goal of hiring 40 loan originators, it said.

via Firms seek workers for financial services jobs | CharlotteObserver.com.


– Governor David Paterson says a new investment in New York State could mean hundreds, if not thousands, of new jobs all across upstate.

The governor announced Tuesday that the state will invest $25 million to launch a consortium of scientists, engineers and business people to develop and manufacture batteries for plug-in hybrid electric vehicles.

via Battery investment could bring many jobs upstate – WTEN: Albany, New York News, Weather, Sports – .


– Ford Motor plans to spend $550 million to re-tool its Michigan Assembly Plant so it will be capable of producing its new line of Ford Focus cars, the company announced Wednesday.

Over $160 million of the money Ford plans to invest in the Wayne, Mich.-based plant will come from tax credits and grants from the state of Michigan, Wayne County, and the city of Wayne.

via Ford Mich. plant to get $550 million green face-lift | Planetary Gear – CNET News.


– Seasonal employment and consumers taking advantage of a federal economic stimulus package set the wheels in motion for the rehiring of 165 employees laid off last year from the Trane facility in Tyler, a company official said Tuesday.

via Tyler Paper – Tyler Morning Telegraph.


– The Pennsylvania Higher Education Assistance Agency will hold a job fair next week to fill 190 positions in its customer service and collections call centers at its 1200 N. Seventh St. headquarters in Harrisburg and its Westport location in Rossmoyne.

via PHEAA looking to fill 190 positions in its call centers – PennLive.com.


– RALEIGH, N.C. — Bayer CropScience will expand its operations in Morrisville with as many as 128 new jobs over the next five years, Gov. Bev Perdue announced Wednesday.

via Bayer CropScience to add 128 jobs in Morrisville :: WRAL.com.


– You’ve just been told you’re being laid off. There are things you can say and do before leaving your seat to ensure a smoother transition to whatever comes next – and hyperventilating is not on the list. In a few days, with a clearer head, you can take further action to turn this devastating turn of events into a positive.

via 25 things to do before leaving your job | Philly | 05/05/2009.


– WASHINGTON (Reuters) – President Barack Obama’s Defence Department plans to create 20,000 new jobs to manage a revamp of the way the United States buys billions of dollars of weapons each year, the Pentagon’s No. 2 official told Congress.

via Pentagon plans 20,000 new jobs to manage arms-buys | World | Reuters .


– Construction of the 600,000-square-foot facility is scheduled to be completed during the first quarter of 2010 and is expected to bring about 200 new jobs to Utah.


Mike: A relatively busy day for layoffs and economic reports that seemed to be taken as a positive for the day. What was bad news last month is taken as good news this onth, as far as the market is concerned. I hope you are all making money during this time of positive news, but don’t get complacent. Till tomorrow and the jobless claims report. Any guesses on the number of claims? I think they will improve to 602,000, but don’t quote me on that! ………………………

I would post my usual Daily Show and Colbert Nation vids, but Comedy Central has infomred me that their vids can dump entire web posting, which I am familiar with!


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Gary Markstein - May 6

Gary Markstein - May 6





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One Comment to “May 6 – Microsoft keeps chopping: 1200 gone in WA – Fiat denies report of 18,000 job cuts – eBay ending 700 call center jobs – Trinidad Drilling cuts > 500 – Mortgage applications up from previous week – Challenger Report: Fewer job cuts in March, but up 47% from last year”

  1. charles says:

    I just wanted to say I enjoy your blog very much, all things considered. But I find it more informative than most of the other economic and political blogs I have seen online. It’s not opinionated, you get to the point and it’s easy to follow. I also very much enjoy the political cartoons, although I post mainly poetry I love to write satire/parody and I find these very intriguing as well as inspiring. Keep up the good work. I would like to add you to my blog roll if that is ok.

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