Mike: Good day to all. Today we have the results of the latest MBA Purchase Applications and they show some improvement from the previous week’s abysmal numbers. I merely take a look at the numbers below and while refinancing showed a 15.2% improvement from the previous week, that is still about 15% lower than two weeks ago. The four-week moving average is likely to be a better indicator of this report’s trend and that isn’t showing a housing turn-around.

The group’s seasonally adjusted refinancing index rose 15.2 percent last week to 1,707.7, after a 30 percent plunge in the prior week.

Purchase applications, which lagged refinancing demand all through the spring home sales season, rose 6.7 percent last week to 285.6.

On a four-week moving average, which smooths out volatility, the purchase index rose 1.4 percent and the refinance index fell 10.9 percent.

via U.S. mortgage applications climb from 7-month low | Reuters .

And those housing numbers aren’t likely to improve much if this is the trend in employment:

WASHINGTON – Job openings in the United States remained at a record low level in May, indicating that while employers have slowed the pace of layoffs they are still hesitant to add staff.

Openings, or the number of jobs available as a percentage of total employment, remained at 1.9 percent, Labor Department data showed yesterday in Washington. The reading matches that of March and April as the lowest since record-keeping began more than eight years ago.

via Job openings in US remain at record low – The Boston Globe.

Gary Markstein

Gary Markstein

- Larger layoff announcements and important economic reports:

Navigation links to today’s stories:

- Microsoft/Google/IBM and other Rumors & News -

ibm1- INDIANAPOLIS (AP) — Indiana’s privately run welfare project has so many problems that the state could start taking steps to cancel its $1.16 billion contract with IBM as early as this fall, a state official said Tuesday.

Secretary Anne Murphy of the Indiana Family and Social Services Administration said she asked lead vendor IBM Corp. to submit a “corrective action plan” as part of a process that could result in canceling the 10-year deal if promised improvements don’t occur by the end of September. She said she expects to review data from the changes in mid-October.

via The Associated Press: AP Exclusive: IBM on notice over Ind. welfare deal.

- General Economic News -

MBA Purchase Applications
7:00 AM ET

- CHICAGO (MarketWatch) — The volume of mortgage applications filed last week rose a seasonally adjusted 10.9% from the week before, reflecting an uptick in refinancings, the Mortgage Bankers Association reported Wednesday.


Mike: Even our Asian friends that were expecting green shoots are disappointed with the crop so far.

“We haven’t seen clear evidence of the green shoots,” said Sukumar Rajah, chief investment officer at Franklin Templeton Asset Management India Pvt., who oversees $4 billion in equities. “It won’t be easy for the economies of the world to grow at the same rate” before the recession began, he said.

Declining exports resulted in companies cutting 500,000 jobs in 10 industries as the worst recession since the Great Depression forces manufacturers to reduce production, Sharma said, citing a labor bureau survey conducted for the October- December quarter.

via Indian Stocks Tumble as June Exports Slide, Job Losses Mount – Bloomberg.com.

John Deering

John Deering

- Government Layoff News -

- Gov. Pat Quinn today began the process of cutting 2,600 jobs while sending a portion of the budget back to lawmakers with recommendations on how to cut $1 billion to help balance it.

Quinn could have made some of the cuts himself but instead chose to veto a budget bill and leave it to lawmakers.

via Governor orders layoffs – Rockford, IL – Rockford Register Star.

- More layoff notices are on the way for teachers in Grand Rapids. A total of 155 teachers in the district will get the notices. And district leaders say they’re still not sure what the final number of layoffs will be.

via MICHIGAN: More Teacher Layoffs in Grand Rapids (2009-07-07) .

- Four Lee County emergency operations workers lost their jobs this week because of the downturn in the economy and the department’s decision to outsource medical supplies.

via 4 Lee County emergency operations workers laid off | news-press.com | The News-Press.

- The Human Resources De partment, Building and Plant/Purchasing Department, and Clerk and Recorder’s Office each lost one employee. Those employees will receive a month of paid leave.

via The Steamboat Pilot & Today: County lays off three employees.

- The Boston Redevelopment Authority has laid off two dozen of its employees to help fill a $4 million budget shortfall.

via City agency cuts 24 amid $4M budget gap – BostonHerald.com.

- Sheriff Harum says a budget cut of $250 thousand dollars ordered by commissioners will mean two vacant deputy positions will remain unfilled and one patrol deputy will be laid off immediately.

via KPQ -Wenatchee – Sheriff makes staff cuts.

- MISHAWAKA — The city announced Tuesday it will eliminate 35 positions — 10 vacant positions will not be refilled and 25 employees will lose their jobs.

via South Bend Tribune: City of Mishawaka to cut 35 jobs, relocate departments.12:37:18

- The money means 560 inmates will not be given early releases and 45 detention deputies, instead of 93, got lay off notices.

via Unexpected windfall averts some sheriff’s layoffs; 45 to lose jobs | Bakersfield Now | News .16:31:59

- Several City of Rowlett employees will be laid off on Monday.

via Star Community Newspapers.16:37:56

- As the Lakewood transitions to an automated trash collection system, six city positions have been eliminated and following a union vote last week, six workers have lost their jobs.

via Six Lakewood workers laid off following rejected city proposal to union – Lakewood Sun Post – Cleveland.com.16:38:25

- Seventy-six employees of the Board of County Commissioners – including six department heads – are slated to lose their jobs as part of a massive cost-cutting maneuver by county administration.

via Polk County Democrat > News > Local > Polk to Pink-Slip 76 Employees.16:40:04

- Developmental Services Center, which serves children and adults with developmental disabilities, cut 18 jobs Monday and has started cutting services to make up about half of the $1.8 million it’s losing in state grant money.

via The News-Gazette.com: Champaign social-service agencies begin cutting staffs.16:41:30

- Director of human resources at the council Anne Burton announced potential pay cuts – likely to affect blue-collar workers – at a personnel committee meeting last Thursday.

It is understood this will involve 113 workers.

via 113 Reading Borough Council staff face pay cut – News – getreading – Reading Post.16:42:23

- US and some Canada Layoff News -

honeywell- Honeywell Inc., has filed a Worker Adjustment and Retraining Notification (WARN) statement with the Illinois Department of Commerce and Economic Opportunity, announcing that it intends to layoff 148 employees within the next 60 days at two Freeport locations.

- CINCINNATI — Comair employees learned Monday that Delta’s planned cuts for September may mean considerable cuts for Comair as well.

Comair president John Bendoraitis told employees that “additional furloughs among our crews will be unavoidable.”

via Comair Facing Job Losses After Delta Cuts This Fall – Money News Story – WLWT Cincinnati.

- The companies regional terminal manager was there to deliver some bad news. The drivers were told that they were laid off from work indefinitely, also the mechanic and the Maysville, KY. terminal manager were also given layoffs as well.

via Local Truck Drivers for Trucking Company given layoff and terminal will be closed in Maysville KY..

motorola- Motorola (MOT) is cutting 74 positions workers in hits mobile phone division at a facility in Libertyville, Illinois, according to the Chicago Tribune. The cuts were disclosed in a state regulatory filing.

via Tech Trader Daily – Barron’s Online : Motorola Cuts 74 Jobs In Mobile Phone Unit.

- PITTSBURGH – The company that runs Pittsburgh’s public television station has laid off nine employees and says more cuts could be coming because of the poor economy and other budget factors.

via Pittsburgh’s public TV station lays off 9 workers | AP | 07/08/2009.

- Newschannel 3 has learned that Parker Aerospace Hydraulic Systems in Kalamazoo has laid off 50 people.

via 50 laid-off in Kalamazoo | kalamazoo, laid, aircraft – Top Stories – WWMT NEWSCHANNEL 3.

- LCN Closers, one of Princeton’s major industrial employers, announced Tuesday it will lay off 44 employees.

via News Tribune – Business – Business Daily.

- BROOKLIN (NEWS CENTER) — A builder of high-end boats Downeast has had to lay off some employees because it doesn’t have enough orders.

via WCSH6.com | Portland, ME | Boat Builder Lays Off Ten.

- Harland Clarke, a San Antonio-based check products and marketing company for the financial services industry, laid off employees in recent weeks because of the recession.

via Harland Clarke lays off employees.

- The new owners of the Ilikai hotel said they plan to shutdown hotel operations on Thursday, resulting in the layoff of at least 65 workers.

via 65 will be laid off when new owners of Ilikai shut down operations Thursday | HonoluluAdvertiser.com | The Honolulu Advertiser.

- A new product at the Cardinal Glass Northfield plant means production employees will have to reapply for their jobs to avoid 27 layoffs.

NORTHFIELD — More than two dozen employees will be laid off from a local manufacturing plant this summer, a Cardinal Glass official said Tuesday afternoon.

via Cardinal Glass will cut almost 30 jobs on Northfield News.

-A spokesman said no employees in the North Texas area will be impacted by the closing of the French facility, but all 350 plant employees in France will lose their positions as operations are cut.

via Celanese to close subsidiary, cut 350 jobs – Dallas Business Journal: .12:38:23

- MONTGOMERY, Ala. (AP) — Colonial Bank has announced it cut 136 jobs across five states this week, including about 30 positions at Montgomery and south Alabama locations.

via WZTV FOX 17/Nashville.12:38:27

newspaper2- NEW YORK The Times Union of Albany, N.Y., will layoff 15 full-time and three part-time employees, including its business editor, sports editor and reader representative, the paper announced Wednesday.

via ‘Times Union’ Lays Off 15, Including Some Editors .12:39:18

- Monster Worldwide Inc. (NYSE: MWW) has cut 50 jobs at its Maynard facility, part of a layoff that eliminated 160 positions globally, the company reported today. At the same time, Monster will open a new research and development facility in Cambridge’s Kendall Square, and is already recruiting for 80 new technical positions to staff the new center — which can accommodate as many as 170 employees, the company said.

via Monster cuts 160, creates 80 jobs in Cambridge – Mass High Tech Business News.16:30:21

gavel3- According to ATL, the DLA Piper on Wednesday laid off 121 people — 21 lawyers and 100 staffers. The news bring the total number of layoffs at DLA to 440 in the U.S. and U.K.

via Law Firm Layoff Wednesday: Paying the (DLA) Piper Again – Law Blog – WSJ.16:35:30

- VALLEY CITY, N.D. — A company that provides consulting and support for management software has laid off 15 employees in Valley City and five in Pierre, S.D.

via Software company laying off 15 in Valley City | Grand Forks Herald | Grand Forks, North Dakota .16:36:53

- Several Twitter messages and e-mails from Enquirer staffers confirmed that the publication’s staff was laid off Wednesday afternoon. Calls to CinWeekly’s staff members were not answered.

- International Layoff News -

-ANZ Bank has axed a further 248 jobs across the country as part of its strategy to slash the size of its Australian workforce.

- TV rental company Marton Dawes Ltd has gone into administration, making 89 redundancies.

via Redundancies at Martin Dawes as pre-pack administration takes place (From This Is Cheshire).

- A former Nakheel employee said the number of redundancies is nearing the 1000 mark, but Nakheel has rubbished the claims.

via Nakheel confirms redundancies | Business | Construction News | ConstructionWeekOnline.com.

- Bosses say 21 staff members have been put at risk of redundancy as they look to reduce the college’s ‘staffing base’ by nine posts due to changes made to the curriculum and a reduction in student funding in some areas.

via West Notts redundancies ‘not linked to project collapse’ – Mansfield Chad .

- In a statement issued in the last hour, TFL Acting CEO Sakeasi Seru said the restructuring exercise identified a total of 177 positions to be made redundant, following which the company held open dialogue sessions with its staff nationwide.

via FijiVillage.com – Fiji’s home on the world wide web.

gavel2- July 8 (Bloomberg) — Baker & McKenzie LLP, the world’s second-largest law firm by revenue, plans to eliminate 11 percent of its lawyers and professional staff in China because of the “very challenging” economic climate.

- Hiring News and News You Can Use-

- Fifty-four percent of employed Americans plan to look for a new job once the economy rebounds, according to a survey from Adecco Group North America.

The sentiment is even stronger among younger workers. Of those ages 18-29, 71% say they are likely to look for new jobs once the economy turns around, the survey said.

via Job satisfaction at a low point for layoff survivors – Yahoo! Finance.

Mike: Another rather quiet day for larger layoff announcements and hopefully that trend continues tomorrow. Thursday brings the Jobless Claims report.  Till then………………

Scott Stantis

Scott Stantis


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


Tags: , , , , , , , , , , , , ,

Mike: The holiday weekend is behind us and a full week of unemployment news begins.

This morning I was browsing the news and came across these little stories that got my head a shakin’.

“A second stimulus should be the one they should have done the first time, something that is relatively fast and thoughtful,” said Phillip Swagel, a professor at Georgetown University’s McDonough School of Business. Mr. Swagel, a former Treasury assistant secretary for economic policy under President George W. Bush, said a more-effective package could include more assistance to struggling state and local governments and personal tax cuts.

“This was supposed to be about jobs, jobs, and jobs. And the fact is, it turned into nothing more than spending, spending, and more spending on a lot of big government bureaucracy,” House Minority Leader John Boehner of Ohio said on “Fox News Sunday.”

Many Democrats, too, said they’re disappointed with the recovery program so far but, for now at least, are resisting calls for a second package. “I don’t think anybody can honestly say that we’re satisfied with the results so far of the stimulus,” House Majority Leader Steny Hoyer (D., Md.) said on “Fox News Sunday.” But he said it was too soon to push for more. “We certainly want to see how this develops over the next few months.”

via Calls Grow to Increase Stimulus Spending – WSJ.com.

“We misread how bad the economy was, but we are now only about 120 days into the recovery package,” Biden said on ABC’s “This Week.” “The truth of the matter was, no one anticipated, no one expected that that recovery package would in fact be in a position at this point of having distributed the bulk of the money.”

via Biden Acknowledges Administration ‘Misread’ The Economy | 44 | washingtonpost.com.

My first reaction is that both parties, starting at the top, are absolutely clueless about the extent of joblessness, it’s causes and cures. I’m not here to say that I have all the answers, but when I see our so-called leaders bickering, sniping and pointing fingers instead of properly reviewing the unemployment problem and taking focused action, I think that we are headed for a worsening unemployment situation. At least Biden tells it like it is, instead of hiding behind the clouds of lies, deception, and false hope.

The Republicans, who were in charge of the economy for most of the past decade, have Boehner complaining about the stimulus although the Republicans diminished the size of the stimulus by cutting back Obama’s initial plan and demanding billions in tax breaks. The initial recommendation was for a $1 trillion stimulus that was reduced to $789 billion, which included over $200 billion in Republican demanded tax breaks. Those tax breaks aren’t job creators and aren’t likely to be of any value until next year at the earliest. Sure, those tax breaks included an small income tax cut, which averages $13 a week. That $13 has been eaten up just in  higher gas prices, so there was no stimulative affect to that tax break. How about an imcome tax holiday for six months or eliminating the income tax on unemployment benefits? No, that’s too easy and it doesn’t play to their base. The Republicans have failed the economy for the past ten years, so they have little to complain about.

The Democrats, for their part, are just as clueless, as can be observed by Biden’s “We misread how bad the economy was, but we are now only about 120 days into the recovery package”. While their stimulus package was touted for its job creation, much is geared to long-range projects like high speed rail, green jobs, etc. While there may be some value to those goals, jobs won’t be created quickly or in sufficient numbers to make much of a difference in the unemployment rate. Infrastructure funding will be helpful in the long-term, but how many people are going to get road work jobs? Do you think the laid-off nurse, teacher, auto worker, and textile worker are going to jump on a backhoe, crane or cement truck and build roads? Not likely. I have read that many road repair projects were eliminated by states and municipalities due to budget constraints, so the road funding from the stimulus is in many cases just picking up those cancelled projects, so road work companies aren’t going to add hundreds of thousands to their payrolls.

With unemployment increasing, along with foreclosures and bankruptcies, people are going to be cutting back on spending and trying to save what they can for upcoming rainy days, and in many cases survival. Neither the Republicans nor Democrats did what was necessary and give each and every household sufficient money to stimulate the economy. In fact neither party proposed eliminating the income tax on unemployment benefits, while at the same time they turned their heads when Goldman Sachs presented their executives with record bonuses, which were accomplished with help from taxpayer funded bailouts. Fair? No. But the parties we have to chose from are both in the pockets of the big financial firms and they could care less about the struggles of the worker, since they get their campaign funds from the big dogs. Both parties claim to be the party of the little guy, but are in fact agents of the rich and powerful.

I don’t know how the Obama administration and their financial wizards misread the economy, when smart, talented and observant people like those at the following sites were generally quite aware of the stimulus shortfalls:
Dr. Robert McHugh (www.technicalindicatorindex.com) states the following in his weekly letter to subscribers:
“The problem is, there have been trillions of dollars printed and spent since last autumn, but none of it to speak of has landed in the hands of consumers, no major income tax rebates, no new meaningful jobs from infrastructure projects, no repeal of property taxes, no health insurance reform such as allowing a cheap “catastrophic only” insurance protection option to families for $200 a month. Has anyone seen anything tangible result from Central Planner intervention? Bridges getting rebuilt? New highways? New supertracks for high speed trains? Energy technology? New parks? Jobs programs? It has all gone to large corporations, to government purchases of corporations.”
I completely agree with McHugh’s take on the matter and I if our clueless leaders don’t get a handle on this growing problem, they will only prolong the pain. Write your representatives today and demand that they change course and funnel funds to you and not just the corrupt corporations: http://www.congress.org/congressorg/directory/congdir.tt. Without your pressure, the parties (we need more than two, by the way, but that’s a different post) will continue to take your money and give it to those same financial frauds that deserve it least.

To be fair, I’ll point you to a couple recession is ending reports that refute the more dire predictions of many who have called this financial mess so far and I’ll leave it to you to decide where things are headed in the near term:

- “We’ll definitely see the end of this recession this summer,” ECRI managing director Lakshman Achuthan said Wednesday. “As unique and unprecedented as this recession has been, the transition to recovery is showing up in a textbook way in the leading indicator charts.”

via ‘We’ll definitely see the end of this recession this summer’ – pressofAtlanticCity.com : Business.

On June 1 we pointed to three clear markers that signified the beginning of US economic recovery. As we enter July more and more economists are also reflecting on the signs that the US economy as a whole is returning to growth.

via Citizen Economists » More Economists Point to Recovery Signs.

-U.S. manufacturing shrank at the slowest rate in 10 months in June, an industry group said, adding to a raft of data Wednesday suggesting the recession is bottoming out.

Thanks for listening and onto today’s news………………



- Larger layoff announcements and important economic reports:

Navigation links to today’s stories:

- Microsoft/Google/IBM and other Rumors & News -

apple1- But last week, Mr. Jobs returned to work on a part-time basis, precisely when he said he would. Experts with only a general knowledge of his treatment suggest his prognosis is good.

- General Economic News -

- WASHINGTON (MarketWatch) — The service sectors of the U.S. economy contracted at a slower pace in June, the Institute for Supply Management reported Monday. The ISM nonmanufacturing index rose to 47.0% from 44.0% in May. The decline was better than expected. Economists were looking the index to rise to 46.0%.

- JEFFERSON CITY, Mo. (AP) — With its IOUs and plans to close state offices three days a month, California gets all the attention as lawmakers fight to write a budget set off balance by a $26.3 billion deficit.

But the dozens of states that made spending cuts, tapped into reserves or relied on federal stimulus funds to patch together budgets that took effect this past week are hardly free from worry. Many of those spending plans are based on tax revenue projections that have been wrong throughout the recession — and may be unreliable again.

via The Associated Press: Missed revenue forecasts pose more woes for states.

Matt Davies

Matt Davies

- Government Layoff News -

- With states facing a $121 billion shortfall in the next fiscal year, a growing number of them have turned to squeezing their workforce for savings, and effects are being felt, both great and small.

In Hawaii, some criminal trials will likely have to be rescheduled because public defenders are being furloughed — or forced to take unpaid days off — three Fridays a month. In New Jersey, about 5,000 parolees went unmonitored for a day in May and June as their parole officers were forced to stay home.

via Maine among 21 states to use furloughs.

- SACRAMENTO—Sacramento firefighters have agreed to freeze their salaries for two and a half years, averting layoffs for at least a year.

via Sacramento firefighters agree to salary freeze – San Jose Mercury News .

- The Troy-Miami County Public Library announced Monday it will lay off six workers, reduce employee hours and modify operations as it faces a budgetary drop of more than $770,000.

via Troy/Miami library to eliminate six jobs – Dayton Business Journal: .21:19:13

- CITY HALL — As a part of the shift in the city’s Park Ranger program, six part-time rangers who are at-will employees of the city, will be terminated as of July 15, city officials said Monday.

via Glendale News Press > Politics.21:21:23

- TROY — Hoping to keep up with funding cuts, the Troy-Miami County Public Library will lay off six staff members, reduce hours for most others, park its bookmobile, increase fines and close one day per week.

- US and some Canada Layoff News -

-The company, which said it would cut 350 jobs, added that JPMorgan Chase Bank has informed the company that its $10 million line of credit was not available to be drawn down upon until the regulatory matter was resolved.

- SHELBYVILLE, Ind. (AP) — Meridian Automotive Systems is idling a central Indiana factory, putting 295 people out of work.

The company told city officials on Thursday that it was closing the Shelbyville plant for an indefinite period. The announcement came less than month after Meridian announced a planned layoff of 198 people at the plant in stages over the summer.

via The Associated Press: Auto parts maker shutting down Indiana plant.

- GRAND BLANC TOWNSHIP, Michigan — Genesys Regional Medical Center is moving forward with plans to lay off than half of the licensed practicing nurses on staff — and replace them with nursing assistants — unless their union can win a last minute reprieve, reports WNEM (Channel 5). According to the report, 54 nurses will receive pink slips next week.

via Genesys moving forward with layoff plans for nurses – Flint News – The Latest News, Blogs, Photos & Videos – MLive.com .

- The company wants 25 workers to voluntarily take up to three months off because business has yet to pick up.

via Pa.’s Channellock looking to voluntary layoffs | AP | 07/03/2009.

- Credit-card giant Discover Financial Services LLC has told state officials it plans to begin cutting 55 jobs at its New Albany call center on Tuesday.

via Discover Financial cutting 55 jobs – Business First of Columbus: .

newspaper- The owner of most of the Bay Area’s newspapers said Friday it would lay off another 18 journalists in the East Bay this summer.

via More Bay Area journalists to lose jobs – San Francisco Business Times:

- Sanofi-Aventis’ restructuring plans may not include forced layoffs in Europe, but about 60 workers in the U.S. were told they’d be out of work by year’s end, BNet Pharma reports, and these weren’t “voluntary separations.” Report

via Sanofi tells 60 U.S. workers they’re out of jobs; Hong Kong finds Tamiflu-resistant case; – FiercePharma.

- Western Corporate Federal Credit Union eliminated 30 San Dimas, Calif.-based employees last week, adding to the 60 branch processing staff the NCUA had previously announced would be let go over the next 12 months. WesCorp’s staff will drop by roughly 22% from January 2008 to mid-2010.

via WesCorp Eliminates Jobs .14:50:08

- Sunoco announced Monday they will permanently shut down the ethylene unit at their Marcus Hook Refinery that was damaged in an explosion and fire in May, and lay off 40-50 workers in the process.

via Sunoco to shut down ethylene unit, ax 40-50 jobs – The Delaware County Daily Times : Serving Delaware County, PA(DelcoTimes.com).14:52:23

sun1- Sun Microsystems recently dismissed 61 employees in Dallas as part of a broader restructuring, according to a company filing with the Texas Workforce Commission.

via Sun Microsystems lays off 61 in Dallas – Dallas Business Journal: .14:53:08

gavel1-In what’s being described as an “administrative reorganization” unrelated to the recession, Osler Hoskin & Harcourt LLP has slashed 23 members of its support staff.

via Law Times – Monday, July 6, 2009.14:58:03

- Wyle Laboratories is cutting 67 Austin high-tech jobs at the end of the week, but most will move over to another company that won a government contract Wyle previously held.

via Wyle cuts Austin jobs, but workers get new employer | Statesman Business Blog.14:59:38

- MYRTLE BEACH — Steel mill union officials last week rejected pay cuts and other concessions that mill owners had said could help stave off the indefinite shutdown planned for July 12.

via Steel mill set to shut down indefinitely July 12 – The Post and Courier.15:03:29

medtronic- Medtronic Inc., VML Co. LLC and Shelby County government all filed letters notifying the department that they will lay off a sum of 105 workers.

via 105 Shelby County workers to lose jobs – Memphis Business Journal: .16:08:25

- East Syracuse (WSYR-TV) – Twenty-five people were notified last week that they’re going to be laid off from The Bristol-Myers Squibb facility in East Syracuse.

via 25 employees laid off at Bristol-Myers Squibb – NewsChannel 9 WSYR .16:09:32

- ProHealth Care, which operates Waukesha Memorial Hospital and Oconomowoc Memorial Hospital, announced Monday it would eliminate 50 positions.

via ProHealth Care to cut 50 jobs – The Business Journal of Milwaukee: .21:17:34

- In a restructuring announced Monday, Naperville-based communications equipment manufacturer Tellabs Inc. disclosed it will lay off about 150 more employees.

via Tellabs-layoffs-tlab- — chicagotribune.com.21:18:18

hospital-Providence Sacred Heart Medical Center has laid off 33 employees and reassigned 44 others as part of a broad budget-cutting effort at the hospital.

via Providence lays off 33 at Sacred Heart | Spokesman.com | Jul 6, 2009.21:22:32

-Last month, about 40 employees were given temporary layoff notices, reducing the workforce to about 20 at present, according to Tanja MacIsaac, office manager for Modus Modular Structures in Swift Current.

via Modus modular in Swift Current lays off staff .21:23:50

- World Vision has laid off about 50 employees, between 4 and 5 percent of its U.S. workforce, saying a decrease in cash donations in the first half of 2009 has forced it to make some painful cost cuts.

via The Business of Giving | World Vision lays off more than 4 percent of U.S. staff | Seattle Times Newspaper.21:24:29

newspaper1- TORONTO — The Toronto Star says it’s cutting six full-time and 21 part-time positions at its classified department as sales for the section decline.

- International Layoff News -

basf- FRANKFURT, July 6 (Reuters) – BASF (BASF.DE) plans to cut 3,700 jobs as part of the integration of Swiss rival Ciba and may sell or close as many as 23 of Ciba’s 55 sites, it said on Monday.

via UPDATE 1-BASF to cut 3,700 jobs as part of Ciba takover | Industries | Energy | Reuters .

oracle- Oracle plans to lay off up to 1,000 workers in Europe, despite strong revenue growth compared with other enterprise software suppliers.

via Oracle to cut 1,000 jobs in Europe | 6 Jul 2009 | ComputerWeekly.com.

- This morning Bookseller reported that Penguin UK will lay-off around 100 people in the publisher’s London offices. As the publisher restructures, Penguin UK managing director Helen Fraser will retire, and be replaced by Tom Weldon as deputy chief executive.

via Around 100 Layoffs at Penguin UK – mediabistro.com: GalleyCat.

- The National Union of Journalists has condemned Trinity Mirror’s plan to make a further “savage” round of 66 job cuts in the north-east of England.

via Trinity Mirror plans 66 more job cuts in north-east England | Media | guardian.co.uk .

- The company said it will cut 26 jobs, mainly in drug discovery, from its current workforce of 82.

- Hiring News and News You Can Use-

- – STEP 1. Categorize your spending: You can’t budget if you don’t know how you’re spending your money. Pull together bank and credit card statements from the last three months, said Barbara McMahon, a financial adviser in Kansas City, Mo. Lump the line items into broad categories, such as food, housing, debt repayment, savings and entertainment.

via Budgeting in 6 easy steps — chicagotribune.com.

- TORONTO — Video game developer Ubisoft is coming to Toronto as part of a deal with the Ontario government that will create 800 jobs over 10 years.

via The Canadian Press: Video game maker Ubisoft to set up in Toronto, creating 800 jobs over 10 years.

- Wal-Mart is seeking 200 people to work at a new store opening in the fall in Tempe, the company said Monday.

via Wal-Mart hiring in Gilbert for Tempe store | Tempe News | eastvalleytribune.com.

- The U.S. Census Bureau in October will open an office in Gardiner that will employ 1,000 part-timers, according to the Kennebec Journal.

Mike: Till Tuesday……………

David Horsey

David Horsey


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