American Express to cut 7,000 jobs
|
|
|
|
|
New York - Credit card company American Express said Thursday it would cut 7,000 jobs, or nearly 10 per cent of its workforce, amid rising defaults on payments. American Express hopes to save 1.8 billion dollars in the next year through the cuts, which will come primarily through managers and others who do not deal with customers, and other measures. The firm had long been shielded from the turmoil in financial markets because of its relatively wealthy customer base, but as the crisis has spread more customers have defaulted on their credit cards. Unlike rivals Visa and Mastercard, American Express keeps its debts on its books. The other firms' risk is with the banks that issue their cards. Last week, the company said earnings fell by nearly 25 per cent in the third quarter.
Copyright DPA
|
|
|
|
|
|
Related News
US economists: 'Jobless' recovery to reach bottom at start of 2010
Washington - The US economy will start adding jobs some time in the first quarter of 2010, ending a so-called jobless recovery that has plagued the world's largest economy since the summer months, according to a survey released Monday. But the Nati...
Hershey, Nestle, sweeten war for Cadbury
Washington - Hershey and Nestle are expected to jump into the war over Cadbury sweets, media reports said Saturday, just weeks after the British-based stalwart rejected a hostile bid by US Kraft Inc. The growing market for chocolate in the developing...
US stock drop slightly on Dell profits, mixed for week
New York - Technology and energy shares pushed US stocks lower Friday, capping a mixed week for investors amid unease about the pace of the world's economic recovery. Tech stocks slid after a disappointing earnings report from computer giant Dell, wh...
GM: Opel restructuring plan by mid-December; cuts up to 25 per cent
Washington - US carmaker General Motors will present a new restructuring plan for its European operations by mid-December, Nick Reilly, the new head of GM Europe, wrote on his new blog Friday. While the details were still being hashed out, Reilly war...
US stock sell-off on fears of weak recovery
New York - US stocks followed global markets in a broad decline amid investor fears over the world's uneasy recovery from recession. Major US stock indices fell about 1 per cent on average, following hefty declines in the DJ Euro Stoxx 50 and Japan's...
US leading economic indicator gains 0.3 per cent
Washington - A key measure of US economic performance gained in October, according to a private research group Thursday, signalling that a broader recovery may be taking hold. The New York-based Conference Board's Leading Economic Index added 0.3 per...
US stocks fall slightly on technology earnings
New York - US stocks posted modest losses Wednesday on poor profit forecasts from technology firms and a surprising dip in home construction. Earnings from Salesforce.com and Autodesk were worse than expected. Other technology shares losing ground in...
|
|
|
|
|
|
|
|
