COMING SOON TO A CONTINENT NEAR YOU …
|| By FITSNEWS || A government-owned coal company in China has announced its intention to lay off 100,000 workers over the next three years – cutting forty percent of its entire workforce. It’s the latest example of the economic slowdown gripping the world’s largest economic engine – and it couldn’t come at a worse time for Chinese president Xi Jingping, who is paying a controversial visit to the United States.
State-owned Heilongjiang Longmay Mining Holding Group (that’s a mouthful, isn’t it?) has been shuttering mines at a frenetic pace in recent years as profits have tanked – but those cost-saving measures apparently weren’t enough.
Now the company – which has gone from $800 million in the black to $815 million in the red in just four years – has resorted to mass layoffs in response to falling prices.
“Personnel is probably its largest cost,” Shanghai-based energy analyst Deng Shun told China Daily. “Actually many traditional State-owned coal enterprises are facing the same kind of problem. It has become more severe as the industry remains on a downward trend.”
Shun said the company – which is also responsible for 180,000 pensioners – should have looked at reducing salaries or benefits prior to initiating such a massive reduction in force.
More pain could be coming …
“The coal industry is set to become a source of millions of job losses,” the website Zero Hedge predicted.
Meanwhile a recent story in The Wall Street Journal highlighted the political realities associated with the economic slowdown.
“As factories run out of money and construction projects turn idle across China, there has been a rise in the last thing Beijing wants to see: Unrest,” the paper reported.
After growing by more than 10 percent a year during the three decades leading up to 2010, China’s growth stood at 7.4 percent last year. During his trip to the United States, Jingping said he was confident his country would achieve its target of 7 percent growth in 2015.
17 comments
I can’t say I’m too surprised. The EPA has effectively banned coal on a progressive basis for the foreseeable future in the United States, while the US has more coal than anyone. Where do you think we’re sending all of our cheap coal? Thanks to the EPA, China may never have to mine for coal again!
Will that hurt Obama’s chances to be Premier, there?
Not as bad as I will hurt the GOP’s chances of winning the White House next year.
With your comment, you actually demonstrate how assbackward you – and the Democrat Party – are…
The story is not that Hillary is repulsive. What is truly amazing, is that you Dumbasses had no idea. You thought she was a can’t-miss lock.
You have so misread the people. And I don’t see that changing. You are ignorant.
I’ve got it, why don’t we devalue our currency again?
Which country can turn their working class into slaves more quickly?
It’s the “print Olympics”- for your own good citizen.
Trump can always give some of them jobs making his clothing line or some of the other Trump branded items he has made in China.
The reason he’s doing OK, is because he cares more about AMERICAN jobs, than China’s.
That’s the opposite of Obama…and the people love Trump for it.
I give you coal, you give me US T-Bond. I own America and give her my long dong.
Another reason they won’t be needing that Michelin tire plant in Anderson.
I’ve found GT’s profile picture
http://tinypic.com/r/2zje05z/8
Awesomeness.
His real photo is in he hands of SLED.
Export Liberalism…Liberalism will rot a country from within.
Obama finally did something right…(: …Even though he is too stupid to know what he did…
Coal mines shutting down is a good thing. Just ask the Pope.
Global Economic Meltdown Coming.
Ha…LOL…..
” It’s the latest example of the economic slowdown gripping the world’s largest economic engine…”
Well………what would YOU do if you suddenly realize that the CUSTOMERS that the COAL that you are mining are becoming aware that the COAL is much more valuable as a building commodity rather than an energy commodity…? Duh…!!! Fitsnews readers are NOT STUPID and neither are the CHINESE…!!! What do you think CARBON Nano-tube materials are made out of…??
Bellsouth telephones went through a slowdown when consumers and students started seeing cellphones being used in a LAB….!!!
BOEING workers are not STUPID….!!!
The only ones on the hook are our MAYORS and City Council Members who FAIL to tell their VOTERS…!!!