Skip to comments.Planned Layoffs in US Firms Surge To 3-Month High, And Bloodbath May Not Be Over
Posted on 12/30/2012 1:08:11 PM PST by SeekAndFind
Planned layoffs at U.S. firms rose for the third month in a row in November, partly driven by the bankruptcy of Hostess Brands, a report showed on Thursday.
Employers announced 57,081 job cuts last month, the highest level since May and up nearly 20 percent from 47,724 in October, according to the report from consultants Challenger, Gray & Christmas, Inc.
November's job cuts were also up 34.4 percent from the 42,474 seen a year ago.
Employers have announced 490,806 cuts in 2012, lower than 2011's total of 606,082 layoffs.
The recent surge in layoffs is at least partly attributed to the bankruptcy of Twinkies maker Hostess in November. That accounted for 18,500 of the jobs lost. The computer industry, which has led layoffs for the year, cut 3,313 jobs last month.
"Job cuts this year have really been driven by a handful of large-scale cuts," Rick Cobb, executive vice president of Challenger, Gray & Christmas, said in a statement.
The Christmas holidays does not necessarily offer respite, Cobb said, pointing to the 11,000 job cuts that Citigroup announced as an example.
The Citigroup job cuts were part of a larger bloodbath taking place on Wall Street in 2011 and 2012. According to Bloomberg Businessweek, Wall Street eliminated some 300,000 financial services jobs in the last two years. And experts predict that more layoffs on Wall Street will be coming in 2013.
"The knives are sharpened and ready," Jason Kennedy, chief executive officer of London-based search firm Kennedy Group, told Businessweek. "...Unless the markets pick up, there will be more cuts in the first half."
The Challenger report comes a day ahead of the key U.S. jobs report, which is forecast to show job growth slowed sharply in November in the wake of superstorm Sandy.
(Excerpt) Read more at jobs.aol.com ...
Sounds like thier surprised with a sense of “blood bath may not be over” optimism. Funny at the end of the article they throw in the sandy storm as this was one of the factors.
Elections have consequences. Apparently over 50% of the people have not figured that out yet.
Connect the dots: the employment situation is not good, and a big part of the problem is unions and the ill-advised political wrangling that they engage in, which results in a bad climate for doing business.
Interesting. My hard count of announced job losses is much higher.
AND I figure I’m only capturing about half of the actual number.
I’ve counted about 70K, and am guessing the BLS will report about 140K.
I think the media and government want to downplay those kinds of numbers
The truth is, we’re going over the “cliff’ no matter what the GOOBers or the ‘RATS decide to do.
Yep. That’s why I have company names, city and state, actual numbers laid off and dates.
They can lie, but only by so much.
My figures can be checked. Can theirs?
I would implore any businesses that are forced to make layoffs due to the high tax rates and Obamacare should first try and identify through campaign contribution information or car bumber stickers or general workplace chatter who voted for Obama and choose to let them off first because they are the ones who enabled the attack on capitalism this will also ensure that those who voted against Obama’s job killing policies can continue to work. This would provide the ultimate in FAIRNESS so the I’m sure the Democrats would be onboard with it, right?
all bammey voters....
what can I say....what can I do?.....not a thing...
well I do tell them frequently to get a govt job....more security...more days off....regular pensions and good medical....
if you're going to vote bammey you might as well be on the govt dole of work for the govt...
There is no such thing as unemployment. They got to retrain or find a new job.
Has the ‘recovery’ slowed? Did it ever exist?
As soon as they shut down all the shipping ports on the Eastern seaboard then things will smooth out.
Nope, and they won't.
Hey, the gubmint workers are all getting raises so things must be ok.
Yes. And they kicked the can down the road on the planned longshoreman strike. Bronco must have called off the dogs for a little while and they didn’t want him to look bad *wink wink. We’ll see that rear its head in a month or so.
Wait until the cliff thingy happens. It isn’t just Defense that is going to take a hit. FDA, PTO, hopefully EPA..and a lot of other top heavy gubmint agencies will feel some of it, too.
Damned AOL, can't get anything right.
Meanwhile the guys who work for the President are all getting raises. :D
I had to read the article twice, to see if I could find the word “unexpectedly”. I didn’t find it, guess the term only appears in gubmint releases.
I know tomorrow, several NFL coaches are going to be added to the ranks of the unemployed.
Unexpected, I'm sure ..... it seems the future isn't as rosy as folks were lead to believe. /sarc
I could swear I remember Obozo saying in the debates with respect to sequestration:
“That just isn’t going to happen”
Such short memory the MSM has...
Sh**, it's hardly begun.
America, you voted for it.
-——bankruptcy of Twinkies maker Hostess ———
Actually, The business was forced to close it’s doors via bankruptcy because of their intractable despicable union.
The jobs were lost to convey union spite. The union cut off it’s nose to spite it’s face
12/31/12 will be the day many businesses will close that:
* Can't make it anymore as a going forward business.
* They are throwing in the towel after trying to make it the last 4 years and had enough of low margins and working for nothing.
* Can't handle the addition burdon of Obamacare, and that becomes another reason to close it down.
Oh, I think a lot of them have figured it out.
As long as their gravy train keeps rolling, they will continue to vote for it. When it runs of the rails (which they don't think will happen), they will just blame somebody else but it will not be the ones actually driving the train.
They have not figured that out yet. They likely never will. "Fools" and "useful idiots" comes to mind. They are why tyranny and state sanctioned mass murder are more the norm than the exception.
The Obama plan is working.
Not really, almost all have multi-year contracts.
They’ll collect more $$ next year sitting on the beach drinking cocktails than most FReepers will make in the next 10 or 20 years combined.
America and the world has not seen anything, yet.
We need to endlessly point out to them that Romney and a Republican controlled house and senate could have prevented the brick wall we are about to slam into. That Job Killing Brick wall is ObamaUncare.
You notice that part of the blurp didn't say a thing about the elections playing a major role? Hmmmmmmm, wonder what they're trying to cover up.
The old question, which is no longer valid, was “What is the unemployment rate?” The new question should be “What percentage of adults has full time employment?”
My employer had voluntary layoffs and retirements in November and December. They said before we left there could be further cuts in January after the holidays if the Fiscal Cliff goes into effect.
Isn’t that number in the high 50s now?
Not to mention local and state fire and police agencies that rely on federal and state grants for funding.
Obama, on reading this report, said “Yes I did!”
Hopefully some of the great unwashed, uneducated laid-off workers will finally wake up and realize that Obama never gave a damn about them, only their vote, and after Nov. 6th, it was “Fuck off, peasants, I don’t need you anymore”.
See, Obama is spreading the pain evenly, called “pain redistribution”. What a guy!
Add obamacare to the list of reasons for layoffs
Maybe it won't. Declare a state of emergency and ban sequestration. It would be similar to what would happen if the oil workers went on strike or the nat gas people went on strike or the longshoremen, etc.
Seeing that in my county. They’ve already laid off 160 workers over the last four years and announced consolidation of offices and more staff reductions for this year. At least 20 more persons. Libraries, parks, etc.
I also do volunteer work at a nearby National Park (Valley Forge). The Park Service will take a hit, too. I have to say, so many of the Park Service that I’ve worked with are stellar people, most with advanced degrees in Science, historic preservation and architecture, archaeologists, etc. IMO, they earn every bit of their pay.
I was in the military for over 20 years as a pilot, and I worked in Pentagon as well. I also used to work for a private company that had some defense related business.
Here is the brass tax: the DoD has already taken massive cuts under King Obama I. There were real cuts, and amounted to $450 Billion in reduction to the DoD budget. They were spread out over current and future years, and what that meant was that each service had to cut, and cut deep. The Army and Air Force cut thousands upon thousands of DoD civilian and contractor jobs. The Navy primarily cut contractors but also had a deeper hiring freeze.
Every DoD budget is projected in the out years, because weapon systems take so long to develop. But the job losses in the near term were huge.
The Sequester cut is on top of the $450 Billion cut that Panetta slashed on the orders of his boss, the Community Organizer. Panetta is an honorable man, perhaps the only honorable man in the Obama administration. He knew he was cutting to the bone, but he did as he was told. Sequester is a mortal wound, and Panetta knows it.
You cannot convince the public to look away from "The Real Housewives of Atlanta" long enough to explain the facts to them. They see a 10% cut hitting the military in 2 days and say: "So what! Fat cats! As long as I GET my unemployment, Social Security, disability, EBT check, then who cares?"
To cut that 10%, the Defense Dept cannot cut active troop personnel strength. That is Obama's order, because he doesn't want the political fall out of that. BUT, I have news for everyone. Obama is going to cut active duty, guard, and reserve uniformed strength anyway, and very soon. He will simply do it later this year. So, the DoD will have to take the money out of Operations and Maintenance, referred to as O&M. That will gut the military to the bone. That is the life blood of the military.
Contractors like Lockheed sold their soul to Obama before the November election. Lockheed is the largest DoD contractor, and they figured they would play politics and not send out layoff notices. They are going to get murdered anyway. Smart investors and companies realized 2 years ago that barring open war, the military will be gutted under Obama II to a level not seen in modern times.
Even if Sequester is partially put off (which looks very unlikely as of today), defense spending is going down the tubes anyway. Why? Entitlements have won the day. We now have a Federal Govt that exists as an ATM for over 50% of all Americans, and is very close to spending 70% of every dollar (of which 40 cents is borrowed) on Entitlements.
The US is in huge trouble: economically, politically, culturally, and militarily. Our primary problem is spiritual, but that is another discussion.
I think we have crossed the Rubicon. There are dark days ahead.
Good post, SkyPilot.
Couldn’t agree more. I currently work in the industry but not for long.
Secretary Gates agreed to a TON of spending cuts...but there were NEVER any cuts in any other department. Nobody else did “their fair share” (I hope this make the top most hated quote of the administration.)
As for Lockheed Martin, couldn’t agree more.
The American version of the Dark Ages has arrived .... in more ways than one.
Wrong. MORE than 50% HAVE figured it out and are voting for the guys that can keep their “free” s—t flowing. As has been pointed out down the thread, we are pretty much screwed at this point. It is simply an exercise in arithmatic for another decade or two. Quicker if enough of the world’s other major economies decide that the dollar is not a suitable reserve currency.