The food-stamp economy
On the last day of every month, shoppers at Walmart load their carts with food and household items and wait for the midnight hour. Is this the new normal in America? Full Article
Volkswagen to cut over a quarter of U.S. staff
FRANKFURT (Reuters) - Volkswagen AG, the world's fourth largest carmaker, plans to cut more than a quarter of its U.S. staff as it moves its local headquarters from Detroit, it said on Thursday.
Volkswagen also announced a five-point plan to restructure its operations in the world's largest car market, including developing models for U.S. consumers, changing brand positioning, alterations in its sales network aimed at boosting dealer margins and possibly localizing car production.
The group has this year ceased to report results for North America but in 2006 it narrowed its operating loss to 607 million euros ($829 million) from 866 million in the prior year.
Roughly 600 jobs will remain in the Detroit suburb of Auburn Hills, while another 400 are expected to take up positions in the new headquarters in the greater Washington, DC area. The remaining 400 jobs will be cut, VW said in a statement.
"The company has already taken steps to reduce its staff through natural fluctuation and severance packages," the company added.
Volkswagen of America, Audi of America, Audi Financial Services and Volkswagen Credit will begin the move in April next year to Herndon, Virginia, near the District of Columbia.
Shares in VW edged 0.2 percent lower to 150.07 euros by 9:40 a.m. (1340 GMT), underperforming a 0.5 percent gain in the DJ Stoxx European autos index.
