LDN - Business

Layoffs pile up in US, Canada as companies uncertain of economy

[August 09, 2024] (Reuters) -Companies in the United States and Canada have continued their job cuts in 2024 after letting go thousands last year, as the outlook on interest rate cuts by the Federal Reserve remains uncertain even as recession fears recede rapidly.

Here is a snapshot of job cuts announced so far this year:

TECHNOLOGY

* Amazon's job cuts include less than 5% of employees at Buy with Prime unit, 5% at audiobook and podcast division Audible, several hundred in streaming and studio operations, 35% at streaming unit Twitch, a few hundred at healthcare units One Medical and Amazon Pharmacy. It also announced layoffs at Amazon Web Services (AWS) impacting several hundred roles in sales, marketing, and global services and a few hundred roles in the physical stores technology team.

* Layoffs at Alphabet include dozens at the division for developing new technology X Lab, hundreds in the advertising sales team, hundreds across teams, including the hardware team responsible for Pixel, Nest and Fitbit, and a majority in the augmented reality team.

* Microsoft is cutting around 1,900 jobs at gaming divisions Activision Blizzard and Xbox.

* IBM plans to lay off some employees in 2024 but will hire more for AI-centered roles.

* Intel said it would cut more than 15% of its workforce, some 17,500 people, as the chipmaker pursues a turnaround focused on its money-losing manufacturing business.

* Paramount Global said it would cut 15% of its US workforce as the media conglomerate navigates the decline of the cable television business. The reduction is part of Paramount's efforts to cut $500 million in costs ahead of its merger with Skydance Media and will affect roughly 2,000 people.

* E-commerce firm eBay plans to cut about 1,000 roles or around 9% of its workforce.

* Videogame software provider Unity Software to cut about 25% of workforce, or 1,800 jobs.

* DocuSign plans to reduce its workforce by about 6%, or 400 employees, with a majority in its sales and marketing organizations.

* Snap plans to cut around 528 jobs or 10% of its global workforce.

* Salesforce is laying off about 700 employees, or roughly 1% of its global workforce.

* Network giant Cisco is planning to restructure its business which will include laying off thousands of employees.

* Autonomous vehicle technology company Aurora Innovation lays off 3% of workforce.

* Canada's BlackBerry plans more layoffs, in addition to about 200 job cuts in the prior quarter.

* Satellite radio company SiriusXM plans to reduce workforce by about 3%, or about 160 roles.

* Bumble is set to eliminate 350 jobs or about 30% of its workforce.

AUTOMAKERS

* Electric automaker Tesla will lay off more than 10% of its global workforce, an internal memo seen by Reuters on Monday shows, as it grapples with falling sales amid an intensifying price war for electric vehicles.

* EV maker Lucid said it would reduce its workforce by 6%, or around 400 employees, the electric vehicle industry grapples with slower growth.

MEDIA

* Pixar Animation Studios, producer of classic films such as "Toy Story" and "Up," began laying off about 14% of its workforce as it scales back development of original streaming series. About 175 people will be affected by job cuts at the Walt Disney Co unit.

* Comcast-owned British media group Sky plans to cut about 1,000 jobs across its businesses this year.

* The Los Angeles Times plans to lay off 94 journalists.

* Paramount Global is planning to conduct an unspecified number of layoffs.

* Business Insider plans to lay off around 8% of its staff.

* Bell Canada plans to slash 4,800 jobs.

FINANCIAL SERVICES

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The Intel Corporation logo is seen at a temporary office during the World Economic Forum 2022 (WEF) in the Alpine resort of Davos, Switzerland May 25, 2022. REUTERS/Arnd Wiegmann/File Photo

* PayPal Holdings is planning to cut about 2,500 jobs, or 9% of its global workforce this year.

* Payments firm Block Inc has started to cut unspecified jobs.

* Citigroup is planning to reduce its headcount by 20,000 people over the next two years. It has announced plans to slash 716 roles in New York towards that target.

* Investment banking giant Morgan Stanley is planning to cut hundreds of jobs in its wealth management unit, a person familiar with the matter told Reuters, adding that the cuts will impact less than 1% of the division's employees.

* Exchange operator Nasdaq plans to slash hundreds of jobs as it integrates fintech firm Adenza into its business.

* Asset manager BlackRock is set to cut about 3% of its workforce but expects a larger headcount by the end of 2024.

CONSUMER AND RETAIL

* The world's largest retailer, Walmart, plans to cut hundreds of jobs at its corporate headquarters and relocate a majority of its U.S. and Canada-based remote workforce to three offices.

* Cosmetics giant Estee Lauder plans to cut 3% to 5% of its global workforce.

* Wayfair plans to lay off 1,650 employees, or about 13% of its workforce.

* U.S. department store chain Macy's is cutting 2,350 jobs, closing five stores.

* Levi Strauss & Co is planning to slash 10%-15% of global corporate jobs.

* Hershey's restructuring plan will impact less than 5% of its workforce.

* Nike will cut about 2% of its total workforce, or more than 1,600 jobs, as the sportswear giant looks to cut costs after flagging weaker profits this year. The company's footwear brand, Converse, will also cut jobs as part of Nike's on-going $2 billion cost savings plan.

HEALTH

* Novavax is cutting about 12% of workforce.

* Consumer health firm Kenvue will cut 4% of its global workforce.

MANUFACTURING

* Defense contractor Lockheed Martin is planning to cut 1% of its jobs.

* Spirit AeroSystems is laying off several hundred members of its workforce in Wichita, Kan., according to an internal memo, as the company deals with high debt and slowed production at Boeing, its key customer.

* U.S. defense contractor L3Harris cut 5% of its workforce in April in a bid to streamline its business and save costs.

LOGISTICS

* United Parcel Service plans to cut 12,000 jobs to cut costs.

* FedEx is planning to cut between 1,700 and 2,000 back-office jobs in Europe, as the parcel delivery company struggles with weak freight demand.

NATURAL RESOURCES

* U.S. natural gas producer Chesapeake Energy is laying off employees after completing the divestiture of its oil assets last year.

* U.S. miner Piedmont Lithium cuts 27% of workforce in the cost-cutting plan.

* Canadian oil and gas pipeline firm TC Energy has laid off some of its workers as part of a previously announced plan to integrate its natural gas pipeline units.

* Canada-based crude pipeline operator Enbridge said it would reduce its workforce by 650 jobs, or 5%, in a bid to cut costs.

(Reporting by Zaheer Kachwala, Harshita Mary Varghese, Samrhitha Arunasalam, Arsheeya Bajwa, Priyanka.G, Jaspreet Singh, Mehnaz Yasmin, Tanay Dhumal, Granth Vanaik, Shivansh Tiwary and Anirudh Saligrama in Bengaluru; Editing by Sriraj Kalluvila, Maju Samuel and Shinjini Ganguli)

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