Permanent Job Losses

The New Layoffs Will Be Permanent.

GM Resorts International and Stanley Black & Decker Inc. recently told some employees furloughed at the outset of the coronavirus pandemic that they wouldn’t be put back on the payroll. And companies bringing back the majority of furloughed workers, including Yelp Inc. and Cheesecake Factory Inc., are making reductions as they adjust to the new reality that many coronavirus-related closures won’t be resolved this fall.

More fresh layoffs at big employers loom. A day after Salesforce.com Inc. posted record quarterly sales, the business-software company notified its 54,000-person workforce that 1,000 would lose their jobs later this year. Coca-Cola Co. said Friday it plans to lay off some employees and offer voluntary buyouts to about 4,000 employees in the U.S. including Puerto Rico as well as Canada. American Airlines Group Inc. and United Airlines Holdings Inc. have said more than 53,000 workers could be affected in about a month if the airlines don’t receive another infusion of funds from the government.

Layoff Announcements in Past Month

Those are the new announcements in the last month with the layoffs happening in September and October. 

It does not reflect announcements from March through July effective in September or October.

Airlines received $25 billion in March to halt layoffs through September so beware of repeat announcements. 

But Delta plans 2,000 layoffs and that is not in the above list. Nor is United. 

On July 8, United Airlines warns of 36,000 layoff.  That's nearly half its U.S. staff. 

October Airline Layoffs Threatened

The Delta Announcement is for Pilots Only and that is on top of over 1,800 early retirement acceptances. 

Allo note that Delta Air Lines said it is still overstaffed even though 17,000 employees are taking buyouts and early retirements.

At a minimum we are talking about a reduction of about 100,000 direct airline jobs.

Devastating Consumer Financial Cliff Coming Right Up

Real Spending vs Income Month-Over-Month For July 2020

The job cuts are coming just as pandemic assistance expired. As a result,  a Devastating Consumer Financial Cliff Coming Right Up.

 Mish