Mike:  Tuesday is a rather quiet day for economic reports and layoff announcements so far, so I’ll get on to the news of the day. Since I’m running a little late today and don’t have time for commentary right now, I’ll urge you to take a look at the following article that includes part-time workers in the unemployment rate. It’s an interesting take on how to more widely gauge the unemployment rate. Warning, the numbers you see may be unnerving:

Next, the unemployment rates calculated when the marginally attached are added to the labor force are shown in the following table. In this situation, the appropriate DOL rate to compare is U-6.

via Implied Total Unemployment – John Lounsbury — Seeking Alpha.

Matt Davies

Matt Davies

Larger layoff announcements and important economic reports:

Navigation links to today’s stories:

Microsoft/Google/IBM and other Rumors & News

ibm-A lawsuit claims the IBM employees credit union in South Florida caused its members to lose millions by steering them to investments in bonds from a now-bankrupt Georgia finance company that made loans to churches and faith-based organizations.

General Economic News

– NEW YORK – Mayor Michael Bloomberg ordered an immediate citywide hiring freeze on Monday to help bridge financial gaps he said are caused by the gridlocked state Senate’s failure to act on city budget matters.

The freeze delays indefinitely more than 1,000 planned hires, including a class of 250 police recruits who were to be sworn in Wednesday. It postpones the hires of firefighters, traffic agents, school crossing guards, school safety agents, 911 operators and emergency medical technicians planned for this summer and fall.

via NYC freezes hiring because of Senate gridlock — Newsday.com.

Chris Britt

Chris Britt

– US chain store sales fell 4.2 pct last week-Redbook

– – The trade association said Tuesday the composite delinquency rate among eight types of closed-end installment loans rose to 3.23 percent. That is the highest recorded since the ABA began tracking the rate in the mid 1970s and tops the previous record of 3.22 percent set in the last quarter of 2008.

Mike: Below is a story that highlights one of the reasons that some drug prices are so high, and it shows how the government was basically in bed with a number of these drug companies to keep those prices artificially inflated by supporting “pay for delay.”

– July 7 (Bloomberg) — The U.S. Justice Department said settlements in which makers of brand-name drugs pay to delay the introduction of generic competitors should be considered illegal in many cases.

The department, in a filing yesterday with the U.S. Court of Appeals in New York in a case involving Bayer AG and the anthrax treatment Cipro, said courts should presume that a “pay for delay” or “reverse payment” agreement is illegal and should force the drug companies to justify why the deal was reached.

via Drug Settlements May Be Illegal, U.S. Justice Department Says – Bloomberg.com.

Mike: Even with reams of studies and facts there is little main stream media attention paid to the affects of climate change on people and the economy. It’s been a relatively wet and cool summer here in the northeast and often I hear people say, “well so much for global warming,” trying to dismiss the notion of climate change because of a one-season cool-down.  Most say they find it will be easier to adjust to the changes in climate than adjust their energy use habits, but when you look at the devastation that climate change can cause, it may not be as easy to adapt to those changes as many hope. I also posted a NASA article on how they interpret climate change v. global warming. I prefer their interpretation, since we will feel many more climate affects besides warming.

-“There’s no water, so there’s no work,” said Torres, a 56-year-old father of three who doesn’t have a car and can’t go far to look for jobs. “Everyone in here is looking.”

It’s much the same in rural towns such as Firebaugh and Huron, whose jobless farm laborers helped pushed the Fresno County unemployment rate to 15.4% in May, above the California rate of 11.5% and up from 9.4% a year earlier.

via Despair flows as fields go dry and unemployment rises – Los Angeles Times.

But temperature change itself isn’t the most severe effect of changing climate. Changes to precipitation patterns and sea level are likely to have much greater human impact than the higher temperatures alone. For this reason, scientific research on climate change encompasses far more than surface temperature change. So “global climate change” is the more scientifically accurate term. Like the Intergovernmental Panel on Climate Change, we’ve chosen to emphasize global climate change on this website, and not global warming.

via NASA – What’s in a Name? Global Warming vs. Climate Change .


U.S. Drought Monitor

via Regional Drought Monitor: West.

Government Layoff News

– HOLYOKE – Students will learn in larger classes, have fewer elective courses and see fewer special programs because of major cuts the School Committee made last week while trying to balance its budget.

via Holyoke schools lose 106 jobs – MassLive.com.

– HARRISBURG, Pa. – As many as 800 Pennsylvania state employees may have to be laid off because of Republican lawmakers’ demands for spending cuts and labor unions’ refusal to accept less drastic measures, Gov. Ed Rendell said Tuesday.

via Rendell says nearly 800 layoffs are impending | AP | 07/07/2009.16:39:51

– Victoria, B.C. –  The union representing most of the B.C. Government employees says the axe is ready to fall on 230 positions in the Forests Ministry.  The B.C. Government and Service Employees Union says the ministry officials have outlined plans to implement a 12% budget cut in 2009/2010.

US and some Canada Layoff News

– DeCrane Aircraft Seating Co. plans to temporarily lay off 90 employees at its Peshtigo plant by late summer.

via Peshtigo aerospace firm to lay off 90 employees – The Business Journal of Milwaukee: .

– About 40 people will be laid off at the plant, located about 60 miles north of Atlanta, according to Jim Mitchell, executive vice president of Sumitomo Demag in North America. Sumitomo Demag announced the news 22 June at NPE2009.

via European Plastics News – News.

– Stella D’Oro announced Monday that the bakery in Kingsbridge will close down for good in 90 days.

The closing comes after Local 50, the union that represents the 130 workers, and the company could not come to an agreement over wage concessions.

via NY1 | 24 Hour Local News | Top Stories | Stella D’Oro Factory To Close Down .

– Walker Manufacturing’s 148 employees began their first week of a six-week shutdown on Monday, an unpaid vacation that will last three weeks longer than usual.

via Area company closes for 6 weeks | coloradoan.com | The Coloradoan,.

– MALTA — Racemark, a manufacturer of automotive floor mats, notified 36 employees July 2 that they will be laid off as of Sept. 30, CEO Ginger Cannon Bailey said.

via Car mat manufacturer Racemark to lay off 36 – The Saratogian News: Serving the Saratoga Springs, N.Y. region (Saratogian.com).

– As part of this realignment, the company’s advertising sales force will be slashed, though some members are being reassigned to new roles, we have learned.

via Slide Cuts Ad Staff, Shifts Focus .

weyerh– The company will close one of its facilities near Taylor, La., and layoff about 39 employees, or 4.2% of its state-wide workforce. Weyerhaeuser added it will provide transition benefits

via Weyerhaeuser cuts dividend, closes lumber mill – MarketWatch.

– Stock Building Supply, in a notice filed with the N.C. Department of Commerce, said it will close plants at 8020 Arco Corporate Dr. in Raleigh by Aug. 26.

The move will put 81 employees out of work.

via Two Triangle companies to cut 176 jobs – North Carolina – News & Observer.12:18:50

– CUDAHY – Several hundred Patrick Cudahy Inc. employees will be temporarily laid off after a massive fire gutted parts of the facility, a company spokesman confirmed Tuesday.

International Layoff News

– COPENHAGEN, July 6 (Reuters) – A Danish airline workers’ union said on Monday it failed to win agreement on concessions offered in talks with Scandinavian airline SAS (SAS.ST), and that it expected more than 300 job cuts.

via SAS Danish crew union says expects 300 job cuts | Industries | Industrials, Materials & Utilities | Reuters .

– Although 500 jobs will be lost when the Mexicali LCD TV plant closes, new assembly lines in Reynosa will require 1,200 new employees, the company said. The Monterrey refrigerator and oven factory will hire 1,300 additional workers as well, LG said in a statement.

LG did not say how many workers at its Mexicali mobile phone factory lost their jobs.

via LG Reorganizes Operations in Mexico, Shutting Factories – PC World.

– Hanson Cement in Padeswood, Flintshire – formerly Castle Cement – will lose up to 56 jobs in production and 37 in distribution.

via BBC NEWS | UK | Wales | North East Wales | Plans to axe 93 cement plant jobs.

– STOCKHOLM (AP) — Swedish flat-pack giant Ikea must cut more jobs than previously announced as the financial crisis continues to weigh on demand for its furniture, founder Ingvar Kamprad said Tuesday.

Kamprad did not say exactly how many workers would be affected. In the past 10 months, Ikea has already slashed 5,000 jobs globally after sales dropped 7 percent below budget.

via The Associated Press: Ikea furniture retailer to cut more jobs.

– ATHENS, July 7 (Reuters) – Greece’s tourism industry has shed more than 19,000 jobs after arrivals at airports dropped by nearly a tenth in the first six months of the year, a trade group said on Tuesday.

via Greek tourism slumps 9.6 pct, 19,000 jobs lost – Forbes.com.

– A narrow gauge steam railway in south Gwynedd says it has been forced to cut back on staff to save money.

Hiring News and News You Can Use

– LEXINGTON, KY – Lexington has landed nearly 100 new jobs as Scentsy – a company specializing in wickless candles sold by independent agents, often in “Tupperware Party” type settings – has announced plans to locate an 80,000 square foot distribution center at W.T. Young Storage at 2471 Palumbo Drive.

via 70 to 100 new jobs to come with distribution center by year’s end.

Mike: A relatively quiet day for layoff announcements and I hope it stays that way. Till Wednesday………………….

Mike Luckovich

Mike Luckovich


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