(Source: Wikipedia Commons)
We are now experiencing the worst economic crisis ever since the Great Depression. Following is a brief summary on what is going on in big companies.
First, DHL, a German logistics conglomerate, gives up on its American dream. On November 10, DHL announced that it would shut down its express-delivery service within the United States, with the loss of 9,500 jobs [1]. The loss of 7,000 jobs from Wilmington, OH, a town of just 12,000 people, has scared a lot of people to death [2].
Second, Big Three Detroit automakers (Ford, General Motors and Chrysler) are seeking big bailout. U.S. Congress is currently debating whether to pass a $25 billion loan package aimed at keeping the struggling Big Three afloat [3]. As Senator Dorgan, Democrat of North Dakota, said on FOX News Sunday with Chris Wallace of Nov. 16, 2008: "This is not just about an industry of three companies. This is about jobs — 350,000 direct, probably as much as 3 to 5 million jobs in total reflecting that industry. [4]"
Last but not least, these kinds of hardships are also happening in the IT industry. On Nov. 14, 2008, Sun Microsystems announced that it would lay off as many as 6,000 employees, or 18 percent of its work force, for a broad restructuring to survive [5]. Hewlett Packard plans to cut 24,600 employees, or 7 percent of its work force over the next three years for decreasing costs in light of the recent acquisition of Electronic Data Systems (EDS) [6]. Dell layoffs planned this year are estimated at 8,900 [6]. eBay is readying layoffs that could affect about 1,500 employees, or 10 percent of its whole employees [6]. There's no exception at Yahoo and Amazon either though there's no exact numbers of layoffs announced yet; they already announced layoffs at the beginning of 2008. A relatively happy feature of the misfortune is that there will be no such mass layoffs at Intel, Microsoft and nVidia, at least in the near future.
One Sentence Conclusion:
Current job market is like Iceland.
References
[1] "Failure to deliver: DHL gives up on its American dream", The Economist (Nov. 13, 2008), http://www.economist.com/business/displaystory.cfm?story_id=12607051
[2] "Ohio town devastated by layoffs by German firm DHL", Reuters (Nov. 11, 2008),
http://www.reuters.com/article/domesticNews/idUSTRE4AA85Y20081111
[3] "Congress debates auto industry bailout", San Francisco Chronicle (Nov. 16, 2008)
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/11/16/MNAE145HUQ.DTL&tsp=1
[4] "Transcript: Sens. Dorgan, Kyl on FOX News Sunday", FOX News (Nov. 16, 2008),
http://www.foxnews.com/story/0,2933,452812,00.html
[5] "Tech Companies, Long Insulated, Now Feel Slump", The New York Times (Nov. 15, 2008),
http://www.nytimes.com/2008/11/15/technology/15tech.html
[6] "California IT Layoffs Inspire California Overtime Pay Lawsuits", Press Release Newswire
http://www.prweb.com/releases/2008/11/prweb1620594.htm