More than a half million jobs lost in January

Tech sector feels the effects of a hemorrhaging economy as more than 100,000 jobs are lost and unemployment rises to 7.5%

Tech sector feels the effects of a hemorrhaging economy as more than 100,000 jobs are lost and unemployment rises to 7.5%

More than a half million American jobs were lost in January as the U.S. economy further weakened during the start of the new year. Analysts continue to say that we’re in for several more months of job losses and a bleeding economic situation.

Tech sector job losses hit a five-year high as more than 120,000 jobs in January alone were cut. Consulting firm Challenger, Gray & Christmas said that computer and electronics companies had cut about 186,955 jobs in 2008 and said that the increasing pace of job cuts was alarming.

Panasonic was the latest tech giant to announce massive layoffs with 15,000 of their staff getting the axe. Panasonic’s announcement comes after rivals NEC and Hitachi just announced that they were slashing over 25,000 of their global workforce. The Japanese electronics maker posted a net loss of $710 million for their latest quarter and is forecasting losses of $4.3 billion for the year.

Last month, Microsoft announced plans to eliminate 5,000 jobs with CEO Steve Ballmer explaining why in his Letter to Employees, right here.

January was a particularly bad month for American workers as ADP’s report found that over 500,000 positions were cut during the the first month of the year. Layoffs rose 222% and the unemployment rate is going up to 7.5% from 7.2% in December.

Here’s a summary of jobs lost during the month of January in the tech sector:

  • AMD - 1,100
  • AOL - 700
  • Autodesk - 750
  • Bose - 1,000
  • Citrix - 460
  • Circuit City - 34,000
  • Dell 1,900
  • EMC - 2,400
  • Ericsson - 5,000
  • Google (contractors) - 5,000
  • Intel - 6,000
  • Lenovo - 2,500
  • Microsoft - 5,000
  • Motorola - 4,000
  • NEC - 20,000
  • Nokia - 1,000
  • Panasonic - 15,000
  • Philips - 6,000
  • Spring/Nextel - 8,000
  • Sun - 1,300
  • Texas Instruments - 3,400

Total: 124,510


Unlimited Phone Service $9.95

Share and Enjoy:
  • E-mail this story to a friend!
  • Print this article!
  • Reddit
  • Digg
  • del.icio.us
  • TwitThis
  • Live
  • Google
  • Sphinn
  • MySpace
  • Facebook
  • StumbleUpon
  • LinkedIn
  • Mixx
  • Technorati

Leave a Reply