Boeing Co., the world's second-largest airplane maker, is planning to cut about 3 percent of its work force as jetliner demand falls, hurt by the global economic downturn.
The Chicago-based company on Friday said it expects to cut about 4,500 positions from its passenger jet business, which has factories in the Seattle area. Many of the cuts will be in areas not directly associated with aircraft production.
The news comes a day after Boeing reported a 15 percent decline in passenger jet deliveries for 2008, when it faced an eight-week strike by union workers and shrinking airline demand. The lower deliveries ensured Boeing's archrival, Europe's Airbus, retained its rank as the world's top plane maker.
Orders for Boeing planes, meanwhile, plunged by more than half last year, following three straight years of exceptionally strong bookings, a grim reminder that carriers have been scaling back spending since the summer to cope with fewer air travelers.
Most of the job cuts announced Friday are expected to occur in Washington state in the second quarter of the year, the company said. Boeing says employees will receive 60-day notices starting in late February.
"We have made significant strides in recent years to achieve greater efficiency and productivity, but we still face challenges that we must address," Scott Carson, president and chief executive of Boeing's commercial airplanes division, said in a statement.
Boeing said the cuts will enable it to continue focusing on development programs, airplane deliveries, productivity improvements and quality, as well as customer support.
The company said this year's cuts will eliminate roughly the number of positions added to its commercial aircraft operation in 2008, lowering the total number to 63,500. Boeing employed a total of 162,191 people as of Dec. 31.
Agencies
Saturday, January 10, 2009
Canada layoffs 34,400 employees in December 2008
The Canadian economy lost 34,400 jobs in December, driving the unemployment rate to 6.6 percent, Statistics Canada said in a fresh sign of recession gripping the nation.
It was the second month of heavy job losses, after 70,600 were shed in November. The unemployment rate rose to 6.6 percent from 6.3 percent in the prior month.
The numbers were worse than most analysts's projections of 22,000 job losses and a 6.5 percent jobless rate in December.
And Finance Minister Jim Flaherty said the situation will only get worse in the short term.
"We're in for a very difficult year," Flaherty told reporters. "We regrettably are going to have to expect continuing job losses in Canada.
"We are going to have substantial job losses," he added.
December's employment decline was led by a drop in construction, one of the biggest monthly losses for that industry in the past three decades.
Some 44,000 construction jobs were lost, as housing starts decreased to their lowest level in seven years the previous month, according to the Canadian Mortgage and Housing Corporation.
This was partially offset by an increase in transportation and warehousing.
"The job market is running out of steam," said analyst Pascal Gauthier of TD Securities.
"We believe that the Canadian economy entered a recession in the fourth quarter. Or if we're not there yet, we're knocking at the door," he told the media.
Sherry Cooper, chief economist of BMO Capital Markets, echoed in a research note: "Today's dismal data offer additional strong evidence that the Canadian economy has quickly waded knee-deep into the recession swamp."
For all of 2008, Canada's employment rate increased 0.6 percent with the creation of a total 98,000 jobs, significantly slower than the 2.2 percent job growth observed the previous year.
Gauthier too commented that the dismal December figures are "indicative of what's to come."
"In a typical recession, we can expect 15,000 to 30,000 jobs being cut each month," he said.
But Canada is still faring better than its neighbor and biggest trading partner, the United States, Flaherty and analysts agreed.
The United States lost 524,000 jobs in December.
Agencies
It was the second month of heavy job losses, after 70,600 were shed in November. The unemployment rate rose to 6.6 percent from 6.3 percent in the prior month.
The numbers were worse than most analysts's projections of 22,000 job losses and a 6.5 percent jobless rate in December.
And Finance Minister Jim Flaherty said the situation will only get worse in the short term.
"We're in for a very difficult year," Flaherty told reporters. "We regrettably are going to have to expect continuing job losses in Canada.
"We are going to have substantial job losses," he added.
December's employment decline was led by a drop in construction, one of the biggest monthly losses for that industry in the past three decades.
Some 44,000 construction jobs were lost, as housing starts decreased to their lowest level in seven years the previous month, according to the Canadian Mortgage and Housing Corporation.
This was partially offset by an increase in transportation and warehousing.
"The job market is running out of steam," said analyst Pascal Gauthier of TD Securities.
"We believe that the Canadian economy entered a recession in the fourth quarter. Or if we're not there yet, we're knocking at the door," he told the media.
Sherry Cooper, chief economist of BMO Capital Markets, echoed in a research note: "Today's dismal data offer additional strong evidence that the Canadian economy has quickly waded knee-deep into the recession swamp."
For all of 2008, Canada's employment rate increased 0.6 percent with the creation of a total 98,000 jobs, significantly slower than the 2.2 percent job growth observed the previous year.
Gauthier too commented that the dismal December figures are "indicative of what's to come."
"In a typical recession, we can expect 15,000 to 30,000 jobs being cut each month," he said.
But Canada is still faring better than its neighbor and biggest trading partner, the United States, Flaherty and analysts agreed.
The United States lost 524,000 jobs in December.
Agencies
World's most expensive phone is out
An Austrian jeweller has given 'bling bling' a new definition by designing the world's most expensive phone.
The new Apple iPhone 3G 'Kings Button' is made of solid 18-carat yellow gold, white gold and rose gold!
Designed by Peter Aloisson the stunning diamond-encrusted iPhone comes for a whopping 1.8 million pounds.
The one-of-a-kind phone features a rare 6.6-carat diamond on its home button, reports The Sun.
Aloisson is credited as being the ultimate pioneer when it comes to blurring the lines between gadget, art and jewellery.
The new Apple iPhone 3G 'Kings Button' is made of solid 18-carat yellow gold, white gold and rose gold!
Designed by Peter Aloisson the stunning diamond-encrusted iPhone comes for a whopping 1.8 million pounds.
The one-of-a-kind phone features a rare 6.6-carat diamond on its home button, reports The Sun.
Aloisson is credited as being the ultimate pioneer when it comes to blurring the lines between gadget, art and jewellery.
Intel assures employees: No more job cuts
Intel Corp said job cuts it made three years ago should help it ride out the economic slowdown, indicating that Chief Executive Officer Paul Otellini won’t have to eliminate a significant number of workers.
“While we haven’t made specific projections on the size of the workforce, the restructuring we did in 2006 has put us in a good position to weather the current economic environment,” Intel spokesman Tom Beermann said today in an e-mailed statement.
Intel, the world’s top chipmaker, slashed jobs in 2006 and 2007 after losing market share to Advanced Micro Devices Inc. Those cuts helped set it apart from other technology companies, which are shedding workers now. Applied Materials Inc, National Semiconductor Corp and Sun Microsystems -- all based near Intel in Santa Clara, California -- have announced cutbacks.
“They are sufficiently profitable that even in a lousy economy they can hold on to people and sustain their new-market initiatives,” said David Wu, a San Francisco-based analyst for Global Crown Capital LLC. He has a neutral rating on the shares, which he doesn’t own. “The rich can afford to do things the poor cannot.”
Earlier this week, Intel said fourth-quarter sales dropped 23 percent, more than it projected, as the global recession stifled demand for personal computers. The company plans to give its full earnings report on Jan. 15.
Intel’s headcount
Intel had 83,500 employees at the end of the third quarter, down about 20,000 from its peak in 2006. When Otellini made those cuts, he said the company was too large for its revenue opportunities. That reduction helped profit rebound 38 percent in 2007, after a 42 percent decline in 2006.
The company will report a profit of $999.5 million for last quarter, according to a Bloomberg survey of analysts. That would be the first quarterly net income below $1 billion since 2003.
Intel fell 40 cents, or 2.8 percent, to $14.15 at 4 p.m. New York time in Nasdaq Stock Market trading. The shares lost 45 percent of their value last year.
Job cuts might have hindered Intel’s efforts to expand into new areas, Wu said. The company announced an agreement this week to get its chips into television equipment from Toshiba Corp and Samsung Electronics Co.
“They are pretty committed to going into new markets, and they don’t want to have to say, ‘Oops, a recession. Everything stop,’” Wu said. “That wastes a lot of money.”
Agencies
“While we haven’t made specific projections on the size of the workforce, the restructuring we did in 2006 has put us in a good position to weather the current economic environment,” Intel spokesman Tom Beermann said today in an e-mailed statement.
Intel, the world’s top chipmaker, slashed jobs in 2006 and 2007 after losing market share to Advanced Micro Devices Inc. Those cuts helped set it apart from other technology companies, which are shedding workers now. Applied Materials Inc, National Semiconductor Corp and Sun Microsystems -- all based near Intel in Santa Clara, California -- have announced cutbacks.
“They are sufficiently profitable that even in a lousy economy they can hold on to people and sustain their new-market initiatives,” said David Wu, a San Francisco-based analyst for Global Crown Capital LLC. He has a neutral rating on the shares, which he doesn’t own. “The rich can afford to do things the poor cannot.”
Earlier this week, Intel said fourth-quarter sales dropped 23 percent, more than it projected, as the global recession stifled demand for personal computers. The company plans to give its full earnings report on Jan. 15.
Intel’s headcount
Intel had 83,500 employees at the end of the third quarter, down about 20,000 from its peak in 2006. When Otellini made those cuts, he said the company was too large for its revenue opportunities. That reduction helped profit rebound 38 percent in 2007, after a 42 percent decline in 2006.
The company will report a profit of $999.5 million for last quarter, according to a Bloomberg survey of analysts. That would be the first quarterly net income below $1 billion since 2003.
Intel fell 40 cents, or 2.8 percent, to $14.15 at 4 p.m. New York time in Nasdaq Stock Market trading. The shares lost 45 percent of their value last year.
Job cuts might have hindered Intel’s efforts to expand into new areas, Wu said. The company announced an agreement this week to get its chips into television equipment from Toshiba Corp and Samsung Electronics Co.
“They are pretty committed to going into new markets, and they don’t want to have to say, ‘Oops, a recession. Everything stop,’” Wu said. “That wastes a lot of money.”
Agencies
Motorola India issues pinkslips to employees
Seems the predictions of a tough 2009 for the cellphone market have started coming true. According to a report in a leading daily, more than 200 people Motorola India had hired just a few months ago to drive its mobile handsets business have been laid off.
The company has decided to stick to its current model of doing business through distributors, says the report.
Industry sources said that Motorola paid all the laid-off sales personnel two months salary in lieu of the notice period.
The company is also reported to have issued pink slips to at least 100 of its 4,000 employees in India in December. It is, however, not clear if the current number of employees given pinkslips includes these.
The December move was said to be a part of the Illinois-based company's earlier announced strategy of slashing 3,000 jobs, or about 5 per cent of its global workforce.
This week the company also launched MotoYuva EM325. The eighth MotoYuva mobile phone in India offers a one-touch access to MP3 library, a universal 3.5 mm jack, 2 GB of removable microSD memory and drag-and-drop USB 2.0 technology. The phone is available in India at a price of approximately Rs 5,149.
In an interview to a news agency, Sony Ericsson CEO, Hideki Komiyama said that the company expects a challenging year 2009 as the handset sales are expected to be down by 5-6 percent.
Sony Ericsson's predictions follow similar ones from Nokia and Gartner according to which the global handset market is set for a slowdown in 2009.
Indiatimes
The company has decided to stick to its current model of doing business through distributors, says the report.
Industry sources said that Motorola paid all the laid-off sales personnel two months salary in lieu of the notice period.
The company is also reported to have issued pink slips to at least 100 of its 4,000 employees in India in December. It is, however, not clear if the current number of employees given pinkslips includes these.
The December move was said to be a part of the Illinois-based company's earlier announced strategy of slashing 3,000 jobs, or about 5 per cent of its global workforce.
This week the company also launched MotoYuva EM325. The eighth MotoYuva mobile phone in India offers a one-touch access to MP3 library, a universal 3.5 mm jack, 2 GB of removable microSD memory and drag-and-drop USB 2.0 technology. The phone is available in India at a price of approximately Rs 5,149.
In an interview to a news agency, Sony Ericsson CEO, Hideki Komiyama said that the company expects a challenging year 2009 as the handset sales are expected to be down by 5-6 percent.
Sony Ericsson's predictions follow similar ones from Nokia and Gartner according to which the global handset market is set for a slowdown in 2009.
Indiatimes
Friday, January 9, 2009
Satyam's Ramalinga Raju surrenders
The disgraced chairman of Satyam Computer Services B Ramalinga Raju has surrendered on late Friday night before the Andhra Pradesh Director General of Police, two days after he confessed to perpetrating a Rs 7,000-crore financial fraud. The CID had registered a case based on Raju's confessional statement.
B Ramalinga Raju tonight surrendered before the Director General of Andhra Pradesh Police S S P Yadav, a police spokesperson said.
"I am prepared to subject myself to the laws of the land and face the consequences thereof" Raju had said in a confessional statement.
Agencies
B Ramalinga Raju tonight surrendered before the Director General of Andhra Pradesh Police S S P Yadav, a police spokesperson said.
"I am prepared to subject myself to the laws of the land and face the consequences thereof" Raju had said in a confessional statement.
Agencies
Is the Apple founder Steve Jobs dead?
Hijacking a Web feed of the Macworld 2009 conference, hackers have made spoof announcements about the death of Steve Jobs, chief executive of Apple.
Earlier this week, Jobs clarified persistent rumours about his health saying that he is suffering from health problems caused by a hormone imbalance.
However, the entire Web world was inundated with false claims of his demise via a fabricated live feed from Macworld Expo after hackers managed to breach security on a well-respected website.
The hackers fiddled with the micro-blogging feed at Macrumorslive.com, which was running smoothly through the first 23 minutes of the keynote speech given by Phil Schiller, senior vice president of marketing at Apple.
But, out of nowhere a message was posted that said, "Steve Jobs just died."
While the micro-blogging feed continued with developments about iPhoto, it was after three minutes that the feed came up with a clarification.
"Retraction on Steve Jobs comment ... we don't know how that got in our feed. Steve did not die," The Telegraph quoted the feed, as saying.
Another message came soon after, and said, "Oh wait, sorry, Steve did die. Our condolences."
The hackers were found to have affiliation with a website called 4Chan.The anonymous participants of 4Chan have discussed a number of high-profile online pranks, including attacks on the Church of Scientology and the breach of a Yahoo email account belonging to vice-presidential candidate Sarah Palin.
"Our MacRumorsLive keynote coverage was hacked today, inserting inappropriate content into the text and photo feeds. We apologise for the inconvenience and are working to restore our services," read an item on Macrumors.com.
While bloggers have claimed that the site's passwords have been out on 4Chan since a day before the hack, but the claims have not been confirmed as yet.
Agencies
Earlier this week, Jobs clarified persistent rumours about his health saying that he is suffering from health problems caused by a hormone imbalance.
However, the entire Web world was inundated with false claims of his demise via a fabricated live feed from Macworld Expo after hackers managed to breach security on a well-respected website.
The hackers fiddled with the micro-blogging feed at Macrumorslive.com, which was running smoothly through the first 23 minutes of the keynote speech given by Phil Schiller, senior vice president of marketing at Apple.
But, out of nowhere a message was posted that said, "Steve Jobs just died."
While the micro-blogging feed continued with developments about iPhoto, it was after three minutes that the feed came up with a clarification.
"Retraction on Steve Jobs comment ... we don't know how that got in our feed. Steve did not die," The Telegraph quoted the feed, as saying.
Another message came soon after, and said, "Oh wait, sorry, Steve did die. Our condolences."
The hackers were found to have affiliation with a website called 4Chan.The anonymous participants of 4Chan have discussed a number of high-profile online pranks, including attacks on the Church of Scientology and the breach of a Yahoo email account belonging to vice-presidential candidate Sarah Palin.
"Our MacRumorsLive keynote coverage was hacked today, inserting inappropriate content into the text and photo feeds. We apologise for the inconvenience and are working to restore our services," read an item on Macrumors.com.
While bloggers have claimed that the site's passwords have been out on 4Chan since a day before the hack, but the claims have not been confirmed as yet.
Agencies
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