Wednesday, April 1, 2009

According to the payroll services company ADP, United States private sector employers cut 742,000 jobs in in March. The figures were almost 80,000 more than the average analyst prediction of 663,000 losses. This is the largest monthly payroll decline since January 2001, when the ADP began tracking job activity.

ADP also updated its job loss statistics for February, from 697,000 to 706,000.

“The sharp employment declines among medium- and small-size businesses indicate that the recession continues to spread aggressively beyond manufacturing and housing-related activities to almost every area of the economy,” said Joel Prakken, the chairman of the company that conducts the ADP survey, Macroeconomic Advisors LLC.

“Despite some recent indications that stock prices, consumer spending, and housing activity may be bottoming out, employment, which usually trails overall economic activity, is likely to remain very weak for at least several more months,” he added.

The US Labor Department‘s report for employment statistics for March is due to be out on Friday. Analysts predicted that the department will announce the unemployment rate increased to 8.5% with 660,000 jobs eliminated in March. However, the bad news from ADP has prompted some to think that the current forecasts are too optimistic.

Tuesday, May 3, 2005

Approximately 9,000 Romanian miners will be made redundant in 2006, slightly more than the 7,000 which are expected to be laid off this year. This comes as part of a government program for 2005-2008 which seeks to maximise efficiency in Romania’s mining industry, as well as reduce the number of mines and quarries in the country, while progressively bringing down the number of workers in this industry. As agreed with the European Union as part of accession negotiations, Romania must cease to provide major state aid to mining companies after 2007, when the country will become a member of the EU. Until then, it must gradually reduce subsidies to state-owned mining companies, in order to comply with European Union competition law.

Romania’s mining industry currently employs 47,000 people, quite significantly less than the 175,000 it employed in 1997, before restructuring took place. A major reform in the industry took place between 1997-2000. This time around, from 2004 onwards, restructuring is expected to be more gradual. Out of the workers who have been laid off from 1997 onwards, around 100,000 have accepted voluntary redundancy, while 8,000 have retired and 12,000 have found other jobs in the private sector. By 2010, the government expects that more than 340 mining units will be closed throughout the country.

Friday, July 17, 2009Following similar threats by workers at New Fabris and Nortel, workers at JLG in Tonneins, France, threatened to blow up several platform cranes. The JLG factory announced in April 2009 that it will fire 53 of its 163 workers by the end of 2009, while the remaining 110 jobs will not be secure over the next 2 years.

JLG Tonneins was acquired in 2006 with its parent JLG Industries, a maker of aerial work platforms, by the U.S.-based Oshkosh Corporation. Despite being hugely profitable in the past, production has been much reduced since 2008 with the contraction of the construction industry and lower demand for its products. Despite excellent past results the new American management demanded sweeping cuts at the company.

In the view of locals, “the company’s actions are a disgrace given the expensive perks, such as official cars, for its corporate fat cats, compared to the sacrifice, silence, and dignity demanded by the company of those it has made redundant.”

The management offered severance pay of € 3,000 (US $4,200), however the workers demanded a severance package commensurate with “the wealth that their labor has generated.” Worker’s delegates requested a “supra-legal” payment of € 30,000, on Thursday 16 of July the management responded with a counter offer of € 16,000. On Thursday night the worker’s actions secured the € 30,000 settlement initially demanded.