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 past fortnight, across the globe hiring.
News from boardrooms:
- The New York Times has received a bailout worth $250 million from Mexican billionaire Carlos Slim.
- The Citigroup Incorporated has ceded control of its brokerage arm, Smith Barney, to Morgan Stanley.
- Yahoo! will freeze pay hikes this year.
- Nissan Motors is set to shift the production of its top-selling compact car to India and Thailand.
- Kalyani Forge has temporarily shut the production at its plants.
- The assets of Jagran Prakashan have been taken over by a bank because of the non-payment of an overdue loan amounting to Rs 8.05 crore.
- The Royal Bank of Scotland may see 30,000 job losses over the next three to five years.
- Construction equipment giant, Caterpillar, is set to axe 20,000 staff members.
- Philips Electronics to cut 6,000 jobs globally.
- Microsoft to slash 5,000 jobs over the next 18 months, but none in India.
- LIC to employ 11 lakh more agents by March 2011.
- Paramount Airways to hire 500 pilots and 60 cabin crew members by 2011.
- Maruti Suzuki to recruit 700 people across various departments in 2009-10.
- Irish insurance firm Hibernian Aviva to phase out 580 jobs in Ireland and relocate them to India.
Bargains and deals:
- Rs 99: Base fares by Air India on some domestic flights.
- Free ISD calls: under the VoIP service to be launched in March by Seven Rings.
- 50 per cent: fare cut by Jet Airways on select domestic routes.
- According to the ILO, as many as 51 million jobs could be lost this year. This will push up the world’s unemployment rate to 7.1 per cent by end-2009, compared with 6 per cent in 2008.
- For the first time, placement season at IITs has been extended till June.
- Crude oil imports slumped in Dec 2008 to their lowest in over four years.
Brands and celebs:
- Party poopers: Nike, Sports Illustrated, Playboy and Cadillac are some of the companies and publications that have cancelled their star-studded parties for the Super Bowl week in America, this year.
- Distress sale: Sergei Polonsky, head of the Russian real estate giant, Mirax Group, has announced that he will be selling his yacht, a grand home on the Cote d’Azur in France and a hotel in Turkey.
- Fatal financials: German billionaire Adolf Merckle committed suicide because of the desperate situation of his companies resulting from the financial crisis.
- Unhappy hours : UK’s celebrity chef, Antony Worrall Thompson, has closed his famous pub, The Greyhound, after falling victim to the credit crunch.
- No more a jet-setter: The third richest man in Australia, multibillionaire James Packer, has put his yacht up for sale, postponed the delivery of a $60-million private jet, and has stopped mid-way the construction of a swimming pool complex at his family property.
- No crisis can last forever. This one too will pass, but we should not waste this crisis. We should learn from it.
- RBI Governor, D. Subbarao, in a note to RBI staff
- Two-thirds of cars sold in the world are based on personal finance ... we are the first victim of the global financial meltdown.
- Carlos Ghosn, Chief Executive, Nissan Motors
- Fiscal actions are unlikely to promote a lasting recovery unless they are accompanied by strong measures to further stabilise and strengthen the financial system.
- Ben S. Bernanke, Chairman, Federal Reserve (US)
- Germany has approved a ¤50 billion stimulus package, the biggest in Europe, to overcome the economic crisis.
- The Reserve Bank of India has not changed any of the key rates (repo, reverse repo and the credit reserve ratio) in its review of the credit policy.