TEREX CORP LAYOFFs JOB CUT: Terex Corporation to fire 5000 employees

Terex Corp Layoffs News

Terex Corporation has announced that it will layoff around 5000 jobs. Some of this job layoffs have already been implemented according to the latest Terex Corp layoff announcement. These 5000 job cuts also include majority of its temporary working staff.

Terex Corporation is a diversified manufacturer makes construction trailers, mining excavators and cranes and according to the 2007 annual report of Terex Corporation it had around 21000 jobs world wide. The 5000 job layoffs by Terex amounts to a massive 24% cut in its total workforce. This is also an indicator of the overall plight of real estate and construction related companies.

Apart from the job cuts, Terex has frozen hiring, 2009 wages for managers and cuts executive long-term compensation from 10 percent to 50 percent.

Reasons for Terex Corp layoffs

Terex Corp. made a $451 million loss in fourth quarter of 2008 as compared to a profit of $174 million in the fourth quarter of 2007. The following quote by Terex Corporation chairman and chief executive is from Yahoo Finance.

"This past year has been like no other -- the first half of the year exhibited robust growth and expansion, while the second half of the year was severely impacted by the global credit crisis and economic deterioration, which drove significant declines in customer demand in our businesses," said Ron DeFeo, chairman and chief executive, in a statement.

source: Yahoo Finance