Ford Cuts 7,000 Salary Positions In 10% Global Workforce Reduction

In a  letter to employees, Ford CEO  Jim Hackett has confirmed that the company will eliminate 7,000 jobs, representing 10% of its global salaried workforce – literally, a decimationas part of the carmaker’s multiyear restructuring plan.

https://www.zerohedge.com/s3/files/inline-images/2019-05-20_6-26-18.jpg?itok=a1ZeKgdx

The company said Monday that the plan will save about $600 million per year by eliminating bureaucracy and increasing the number of workers reporting to each manager.

In the U.S. about 2,300 jobs will be cut through buyouts and layoffs. About 1,500 white-collar employees have already left the company voluntarily since the restructuring began last year, some taking buyouts. About 500 workers will be let go this week.

Most of Ford’s white-collar workers are in and around the company’s Dearborn, Michigan, headquarters.

To: All CDS IDs

From: Jim Hackett

Continue reading

Advertisements

The Evolution Of Mortgage Policy, 1930-1960

“A Crack in The Foundation?” Part 1: Fannie & Friends — The Evolution of Mortgage Policy from 1930-1960

In the digital age, industries evolve at a breakneck pace, spurred on by technological advents and process enhancements. And yet, as anyone in the mortgage industry knows, change here is less accelerated. We adapt more slowly, seeking respite in the comfort of our well-worn processes and traditions.

The complexity of the mortgage industry necessitates that evolution occurs slowly, and the powers (and policies) that be often set the rate of change. As we look towards the future of our industry, it’s imperative to scrutinize our past to understand the possibilities of our future.

Welcome to “A Crack in the Foundation?”, our four-part series in which we will examine the evolution of the mortgage industry and homeownership in America, with an eye on government policies and how GSEs can promote (or prohibit) periods of economic growth.

Part I starts at the turn of the 20th century and traces the establishment of the Federal Housing Administration (FHA), as well as the birth of Fannie and Ginnie, to look at the inception of the modern mortgage and its impact on home ownership.

Source: by Chelsea Miez | Maxwell

Continue reading

Garbage Rates Spike As Majority Of Recyclables End Up In Landfills

China phasing out imported waste is driving California recycling rates through the floor.

Carlos Guzman, operations manager at Republic Services, next to “The Pile” in Anaheim, CA, on Friday, May 17, 2019. The Pile is what they call the mound of recyclables waiting to be sorted. (Photo by Jeff Gritchen, Orange County Register/SCNG)

(Orange County Register) The market for recyclables is tumbling, the diversion rate of trash headed to dumps is shrinking and trash bills are going up as the cost of recycling increases.

“We used to pay haulers for recyclables,” said Bob Asgian, assistant department head of Los Angeles County’s recycling and landfill operations.

“Now, they’re paying us (to take them).”

Continue reading

Sliding Home Prices Turn Around In Parts Of Southern California

Single family home prices in Orange, Los Angeles and San Diego counties changed course, climbing up in April after falling year over year in March.

Sales volume was down statewide, but the median resale home price set a record high in California in April, hitting $602,920. (File photo by Marilyn Kalfus/SCNG)

Riverside County had the biggest price gain of five Southern California Counties, at 5.8%, with the median resale of a home up to $423,000 from $400,000 in April 2018. San Bernardino saw a 5.2% hike, with the price at $305,000 compared with $289,900 the prior year.

Orange County had the smallest uptick – 0.9% – but the heftiest price: It rose to $825,000 in April from $818,000 last year. Los Angeles, with a 3% increase, saw prices go to $544,170 from $528,550 last April. San Diego rose 2.2% to $649,000 from $635,000.

The analysis comes from the California Association of Realtors, which reports on the resale of houses around the state. Sales of existing houses account for just over two-thirds of all home sales in Southern California.

In March, CAR’s numbers reflected the first year-over-year price drop for Los Angeles and San Diego counties in seven years and the third in Orange County in the previous four months.

Statewide, demand weakened and sales were down, but the median home price set a record high in April, reaching $602,920 and passing the $602,760 high set in the summer of 2018. April’s price was up 3.2% from $584,460 in April 2018, CAR said.

“While we started off the spring homebuying season on a down note, home sales in the upcoming months may fare better than the top-level numbers suggest,” said Leslie Appleton-Young, CAR’s senior vice president and chief economist. “The year-over-year sales decrease was the smallest in nine months, and pending home sales increased for the second straight month after declining for more than two years.”

She said a sharp sales rebound is not expected, but neither is an acceleration of declines.

Sales volume dipped in Los Angeles (-0.1%), Riverside (-6.5%) and San Bernardino counties (-7.7%), but was up in Orange (0.5%) and San Diego counties (2.4%).

“Weak buyer demand, largely prompted by elevated home prices, is playing a role in the softening housing market,” said CAR president Jared Martin. “However, with low-interest rates, cooling competition and an increase in homes to choose from, buyers can take advantage of a more balanced housing market.”

Mortgage rates fell to 4.06%, in March, a 14-month low. The 30-year fixed-rate mortgage averaged 4.07% for the week ending May 16, down from last week’s rate of 4.10%, according to Freddie Mac.

Source: by Marilyn Kalfus | The Orange County Register

Farm Crisis: Suicides Spike In Rural America As Trade War Deepens

https://whiskeytangotexas.files.wordpress.com/2019/05/distressed_maga_hat.jpg?w=511&zoom=2

The deepening trade war between the US and China has roiled complex global supply chains and America’s Heartland. The latest breakdown in negotiations comes at a time when soybean exports to China have crashed, and huge stockpiles are building, have resulted in many farmers teetering on the verge of bankruptcy. Mounting financial stress in the Midwest has allowed a public health crisis, where suicide rates among farmers have hit record highs, according to one trade organization’s interview with the South China Morning Post.

Continue reading

Attention Millennials: You Can Now Buy Tiny Homes On Amazon

One of the main goals of the Federal Reserve’s monetary policies of the past decade was to generate the “wealth effect”: by pushing the valuations of homes higher, would make American households feel wealthier. But it didn’t. Most Americans can’t afford the traditional home with a white picket fence around a private yard (otherwise known as the American dream), and as a result, has led to the popularity of tiny homes among heavily indebted millennials.

Tiny homes are popping up across West Coast cities as a solution to out of control rents and bubbly home prices, also known as the housing affordability crisis.

https://www.zerohedge.com/s3/files/inline-images/tiny%20homes%20san%20fran.jpg?itok=fZ8EmDnq

Amazon has recognized the hot market for tiny homes among millennials and has recently started selling DIY kits and complete tiny homes.

One of the first tiny homes we spotted on Amazon is a $7,250 kit for a tiny home that can be assembled in about eight hours.

https://www.zerohedge.com/s3/files/inline-images/2019-05-16_14-30-04.png?itok=ssdiD-Ct

A more luxurious tiny home on the e-commerce website is selling for $49,995 +$1,745.49 for shipping. This one is certified by the RV Industry Association’s standards inspection program, which means millennials can travel from Seattle to San Diego in a nomadic fashion searching for gig-economy jobs.

https://www.zerohedge.com/s3/files/inline-images/2019-05-16_14-30-46.png?itok=v2XAJ5QF

Those who want a 20 ft/40 ft expandable container house with solar energy, well, Amazon has that too. This tiny home has it all: a post-industrial feel using an old shipping container, virtue signaling with solar panels, full bathroom, and a kitchen to make avocado and toast.

https://www.zerohedge.com/s3/files/inline-images/2019-05-16_14-31-41.png?itok=N9ksRa5o

With almost two-thirds of Millennials living paycheck to paycheck and less than half of them have $500 in savings, we’re sure this lost generation could afford one of these trailers tiny homes with their Amazon credit card. Nevertheless, the tiny home craze among millennials is more evidence that living standards are collapsing.

Source: ZeroHedge

Federal Railroad Administration Cancels $929 Million In California High Speed Rail Funds

WASHINGTON (Reuters) – The Trump administration said on Thursday it was formally cancelling $929 million in previously awarded funding for California’s high-speed rail program after rejecting an appeal by the state.

FILE PHOTO – California Governor Jerry Brown’s name and others are pictured on a railroad rail after a ceremony for the California High Speed Rail in Fresno, California January 6, 2015. REUTERS/Robert Galbraith

The U.S. railway regulator, the Federal Railroad Administration (FRA), said on Thursday it had canceled the funding awarded in a 2010 agreement after it said the state had “repeatedly failed to comply” and “failed to make reasonable progress on the project.”

In a statement, the FRA said it was still considering “all options” on seeking the return of $2.5 billion in federal funds the state has already received.

Continue reading