Well, New Yorkers have spoken and they are Pissed. The general consensus: Bailing out Citigroup Again!!! What’s to keep them from going under again?
I got a really important question: Will the 53,000 planned layoffs still get the Pink Slip even with the bailout? I have heard a lot of talk about what Citigroup is going to get but what about their employees, will they be spared the layoffs with this new infusion of money. I have not heard anything regarding them. I understand that Citigroup is not making any comments!
Well, here is what is happening in New York:
Citigroup bailout slammed by New Yorkers
Thu Nov 27, 2008 3:09am IST
By Juan Lagorio
NEW YORK, Nov 26 (Reuters) - The bailout of Citigroup has made people in New York angrier than they were about any of the other government rescues of financial institutions this year.
In a random sample of people inside the Port Authority, the world’s busiest bus terminal, only one man backed the government decision to prop up the New York-based bank, even though it is a huge employer in the region.
All the rest are angry — even on the day before Thanksgiving . More…
As if that were not enough yet another round of layoffs has been announced this time by the steelmakers industry:
UPDATE 1-Steelmaker ArcelorMittal warns of U.S. layoffs
By AFX | 25 Nov 2008 | 04:14 PM ET
NEW YORK, Nov 25 (Reuters) - The world’s largest steelmaker ArcelorMittal said on Tuesday that it might lay off 16 percent of its U.S. workforce as a result of production cuts. ArcelorMittal recently announced that it had reduced production in North America by 40 percent because of lower demand. “As a result, ArcelorMittal has notified the United SteelWorkers (union)…about the potential for an indefinite layoff of 2,444 employees at its Burns Harbor facility effective beginning the second half of January 2009,” said a company spokesman in Chicago. More…
Whats the government going to do about this one? I am beginning to think that that bailout bandwagon is getting kind of long! Can the government continue with these bailouts? Will the government need a bailout and if so who would bail them out?
Tags: ArcelorMittal, Burns Harbor, Citigroup, New York-based bank, production cuts, Steelmaker ArcelorMittal, U.S. workforce
November 27, 2008 at 6:46 pm |
It seems unconsionable to me that we the tax payers are throwing huge sums of money at a bank that has mismanaged its assetts for quite some time. At the same time we are giving them this largesse they are laying off huge numbers of employees. This guarentees we shall pay twice for this “kind act”. How can we let the management team and board continue to exist? What would they have to do to be held accountable? Shut the lights off? There are numerous intelligent people at Citi. There are even people who have years of experience in running a Consumer Bank. Not just sucking value from other purchased Consumer banks or the consumer him/herself. Many of the issues at Citi come from the fact that we have the wrong people at the helm. We allow shareholders too much say in how to run a business and we have decimated the consumer bank skill…replacing it with Smith Barney types who wouldn’t know a consumer bank if it fell on them.
Mr. Obama, please do not let them survive without some serious changes at the top layers. The 75,000 employees now on the street should never been let to happen when the left hand was getting tax payer money.