Nokia cuts jobs again

Nokia recently closed research and production sites right after it cut its earning forecast the second time this year. Things are really looking bad for Nokia that in an effort to minimize losses and compensate for 4 consecutive quarterly losses has cut 10k jobs.

  • Written by Jed E. Robinson
  • Category: Companies

4 Dreamliner 787s soon to be shipped to Air India from South Carolina Boeing Plant

Air India Ltd. will soon get its hands on all 4 ‘composite-plastic’ Dreamliner 787s assembled this year in Boeing’s brand new South Carolina plant as the plane maker is ready to deliver.

Yesterday, the first one rolled out from a hanger covering an area of 1.24 million square foot in Charleston, South Carolina. The jet will start its test run in approximately 3-4 weeks and in midyear, the delivery will be made to Air India, according to Jack Jones, vice president, Boeing South Carolina.

Air India demanded a compensation package of 1 billion dollars due to production delays. Boeing’s ‘Commercial Airplane Division’ chief, Jim Albaugh refused to say anything about Air India’s demands. But in a meeting with Boeing employees and politicians of South Carolina, he did say that the jets they would be delivering are worth the wait.

Last month, he argued about a statement made by the government of India claiming that the jet maker would pay $500 million as compensation for the delay to the delivery, which actually was scheduled in May 2008.

In February, Air India wanted $1 billion. But earlier in August 2006, they announced a demand for compensation worth $840 million.

Yesterday, in Mumbai, Air India spokesman, K. Swaminathan declined to make any comment about their position before the formal statement came regarding taking the delivery.

Boeing is giving its production a big boost by 60 percent in the next 4 years and the plane maker aims to complete all the orders pending, by 2014.

This week, Boeing reiterated its plan for delivering 70 to 85 of 787s and 747s in this year. And of those 85 planes, almost half consists of ‘composite-plastic’ Dreamliner 787s.

Boeing targets to accelerate its production rate of the ‘twin aisle’ carriers to 10 units per month by late 2013. Jones said that the new facility in South Carolina that started last year will assemble 3.5 jets a month by early 2014.

Boeing spokesman, Marc Birtel said that the company delivered all the 11 787s to ‘Japan Airlines Co.’ and ‘All Nippon Airways Co.’. The deal was worth $193.5 million.

The delivery of five Dreamliners in this quarter gave the thrust Boeing needed to get ahead of Airbus SAS’s 131. The Chicago based company is determined to regain the huge commercial sales it lost back in 2003.



  • Written by Navid Iqbal
  • Category: Companies

Fiat follows Porsche, Hyundai and stops sales in Iran

Some say that there is no substance to the accusations that Iran is developping nuclear weapons. However, auto makers are taking a stand against this.

Because of Iran's active nuclear program Fiat joined Porsche and Hyundai in their decision to stop sales in Iran.

  • Written by Julius
  • Category: Companies

World economy on the verge of new jobs recession: ILO

According to ILO (International Labor Organization), the employment situation is shaky around the world.

The global economy is on stage where there is deeper jobs recession and that may set fire to social unrest.

It also said that it may take five years at least for making employment in advanced economies to return from this.

From 118 countries the ILO noted that in 45 countries the risk of social instability was rising.

In another analysis, OECD stated that G20 leaders meeting require taking bold decision.

OECD (Organization for Economic Co-operation and Development) said the plans that are announced by the EU leaders on 26th October had been a significant initial step but the measures need to be implemented punctually and forcefully.

The message from OECD to world leaders came as the organization predicted a spiky slowdown in the Euro zone’s growth and warned some countries that they are likely to face some negative growth in upcoming days.


'Moment of truth'


In World of Work Report 2011, the ILO stated that a over-involved global economic recovery had affect the labor markets dramatically.

It also said that about 80 million net new jobs may be required over the upcoming two years to get back to past employment levels.

But the organization said that the slowdown in growth recommended that only 50% of the jobs needed would be made.

Raymond Torres from ILO said that they have reached the moment of truth and they have a brief window of occasions to avoid major employment problem.

The group also computed levels of dissatisfaction over the lack of jobs and anger over discernment that the burden of the disaster was not being literally shared.

The group also stated scores of different countries faced the probability of social unrest, mainly those in the EU and in Arab region.

Loss of confidence

In the meantime, ILO’s latest projection for the economies of G20, OECD forecast growth in Europe 1.6 percent this year and next year it slowing to 0.3%.

In May, the group also forecast growth of 2 percent per year in 2011 as well as 2012.

It also cut it development forecasts for the US to 1.7 percent in 2011 as well as 1.8 percent in 2012. It had anticipated growth of 2.6 percent as well as 3.1 percent respectively.

OECD said, “Much of the current weakness is due to a generalize loss of confidence in the ability of policymakers to put in place appropriate responses”.

  • Written by Navid Iqbal
  • Category: Companies