Trump’s Economy: Job Layoffs Surge To Highest Level In A Decade

We keep hearing all this great news about job creation and see those monthly reports of a few hundred thousand jobs being created, but what we don’t hear about is the other side of that coin – Layoffs in this country have hit a ten-year high, meaning more people are losing their jobs today than at the height of the recession. Ring of Fire’s Farron Cousins explains what’s happening and why the administration keeps trying to paint a picture that isn’t based in reality.

Dubai Falls on Hard Times
NRC HANDELSBLAD: The wealthy Gulf state of Dubai has been hit hard by the global economic crisis. Tens of thousands of workers have been laid off and forced to return to their homelands. The Dutch community in Dubai is also feeling the pinch.

Jan Demmink has lived in Dubai for 28 years. It's the pleasant atmosphere, the entrepreneurial spirit and the climate that keep him in the Gulf state. He witnessed the transformation of what was once a tranquil and prosperous town into the vast collection of skyscrapers that makes up modern-day Dubai.

Under the leadership of Sheik Mohammed and his father Maktoum III, the emirate invested in the financial sector, tourism and real estate. The bigger, more expensive and more luxurious the better. Yet these are the very sectors that have been shaken to their foundations by the crisis and meanwhile Dubai has no major oil reserves to fall back on.

Financial nosedive

Jan Demmink works in the electronic security of complexes such as refineries, palaces and roads. His position is safe for the time being. "I work on long-running projects, so I have yet to feel the effects of the crisis," he explains. "But in construction you can see the signs already. A halt has been called to projects that were only started recently, or which have yet to get under way."

Dutch dredging company Van Oord is one of those in the firing line. The company hit the headlines worldwide with the construction of Palm Jumeirah, the first of Dubai's famous Palm islands and the construction of The World archipelago. Van Oord was all set to embark on a third island project, Palm Deira, an order worth 2.5 billion euros, the largest in the company's history. Part of the order has already been realised but the rest is on the back burner for the foreseeable future. The funding simply isn't there. Spokesman Bert Groothuizen says no one saw the rapid changes coming. "It was a nosedive. Especially in the fourth quarter of 2008. And I don't think these problems will be solved in six months' time." Expats Feeling the Economic Nosedive in Dubai >>> By Willemien Groot for Radio Netherlands Worldwide | Friday, February 27, 2009

The Dawning of a New Dark Age (Paperback & Hardback – The Netherlands) >>>

Spending Stalls and Businesses Slash U.S. Jobs
THE NEW YORK TIMES: As the financial crisis crimps demand for American goods and services, the workers who produce them are losing their jobs by the tens of thousands.

Layoffs have arrived in force, like a wrenching second act in the unfolding crisis. In just the last two weeks, the list of companies announcing their intention to cut workers has read like a Who’s Who of corporate America: Merck, Yahoo, General Electric, Xerox, Pratt & Whitney, Goldman Sachs, Whirlpool, Bank of America, Alcoa, Coca-Cola, the Detroit automakers and nearly all the airlines.

When October’s job losses are announced on Nov. 7, three days after the presidential election, many economists expect the number to exceed 200,000. The current unemployment rate of 6.1 percent is likely to rise, perhaps significantly.

“My view is that it will be near 8 or 8.5 percent by the end of next year,” said Nigel Gault, chief domestic economist at Global Insight, offering a forecast others share. That would be the highest unemployment rate since the deep recession of the early 1980s.

Companies are laying off workers to cut production as consumers, struggling with their own finances, scale back spending. Employers had tried for months to cut expenses through hiring freezes and by cutting back hours. That has turned out not to be enough, and with earnings down sharply in the third quarter, corporate America has turned to layoffs.

“People have grown very nervous,” said Harry Holzer, a labor economist at Georgetown University and the Urban Institute, tracing cause and effect. “They have seen a lot of their wealth wiped out and as they cut back their spending, companies are responding with layoffs, which hurts consumption even more.”

The unemployment is widespread, with Rhode Island the hardest hit. >>> By Louis Uchitelle | October 25, 2008

The Dawning of a New Dark Age – Paperback (US) Barnes & Noble >>>
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