Depression, recession, bear market... all have translated to job scares, a slowdown in demand and panic attacks. Here is a recap of the spillover effects of the ongoing economic imbroglio in the last fortnight, across the globe.
- Union Bank to hire 5,000 employees and add 400 branches in this fiscal year.
- Dow Chemicals to give jobs to 2,000 people in India in the next three years.
- Religare-Macquarie is set to hire 180 wealth managers across India.
- TCS to recruit computer science PhD graduates from IITs without interviews for five years.
- MphasiS has asked all 1,300 employees at Noida to either move to a low-cost location or quit.
- Appliances maker Electrolux to trim its global workforce by more than 3,000.
- Japanese chip-maker Fujitsu to axe 400 jobs.
- Unitech lays off 10% of its employees out of a total of 1,700.
NEWS FROM BOARDROOMS
- Hyundai Motor India to cut production by 25% for the next two quarters.
- Coca-Cola India is deferring annual increments for all employees by a quarter and freezing the increments of top management.
- National Textile Corporation, which invited tenders for its 10.8-acre Finlay Mill in Mumbai got less than half the reserve price. It will go for a re-tender.
- Toyota has forecast its first operating loss in 71 years on plummeting demand.
- Agilent has made a two-day leave mandatory every month for its 1,800 employees in India.
- Polaroid Corp, maker of iconic instamatic cameras, has filed for bankruptcy.
- Goldman Sachs has posted its first loss since going public.
BARGAINS AND DEALS
- 25% Drop in room rates of premium Indian business hotels.
- 30-50% Discounts by luxury brands like Gucci and Jimmy Choo.
- Free Merc with a Rs 69-lakh villa by Orange Properties in Bengaluru.
- Google gave out G1, its own iPhone version, to its employees instead of Christmas bonuses.
- 11.7 million American households owe more on their mortgage than their homes are worth.
- The executive class air travel is down by 30% in India.
- The Indian Masters, set to be played in Delhi in February, was dropped from the 2009 European Tour schedule for lack of sponsors.
- Darjeeling Himalayan Railway has been losing Rs 30,000 a day since April last year.
THE RICH & FAMOUS
- Yellowstone in the red
Yellowstone Club, a private resort whose members include billionaire Bill Gates and Los Angeles Dodgers owner Frank McCourt, has sought bankruptcy protection. To join the club, each member put down a $250,000 deposit and bought a piece of property.
- China's rich are poorer
China's three richest billionaires suffered a halving of their collective wealth to $16.3 billion from $35 billion last year.
- Surrendering the stake
Oleg Deripaska, pegged as the richest man in Russia, was forced to surrender his 20% stake in a Canadian company to creditor BNP Paribas on a margin call.
- Salary chops
Motorola co-chief executives, Greg Brown (left) and Sanjay Jha, will take a 25% voluntary cut in their salaries.
- From all global projections, we should expect that the next year is going to be very difficult for the global economy.
— Montek Singh Ahluwalia, Deputy Chairman, Planning Commission
- The banking system can't be expected to make up for all other sources of funds that have dried up, unless you put in more liquidity.
— Aditya Puri, MD & CEO, HDFC Bank
- I'm concerned that our forecast, already dark, will be darker if enough fiscal stimulus is not implemented worldwide.
— Dominique Strauss-Kahn, IMF Chief
The government has hiked the FII investment limit to $15 billion from $6 billion in domestic corporate bonds as its second stimulus package. RBI has slashed CRR by 50 basis points and repo and reverse repo rates by 100 basis points paving the way for interest rate cuts by banks.