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Labor Issues

SAIA

Saia announces the planned retirement of Douglas Col, the company's Executive Vice President and Chief Financial Officer, after a decade of service, including the last four years at Saia. Col will remain in his positions until a successor is announced.

Portfolio Pulse from Benzinga Newsdesk

April 26, 2024 | 11:48 am

TSLA

Tesla, Inc. (NASDAQ:TSLA) is undergoing its largest workforce reduction, cutting over 10% of its workforce or about 14,000 jobs, to combat slowing demand and falling margins. The layoffs are most significant in the United States, with over 6,000 jobs cut in California and Texas. In Germany, Tesla plans to cut around 400 jobs at its Giga Berlin plant, contrary to initial reports of 3,000. In China, reports suggest a 20% workforce reduction, potentially affecting 4,000 jobs, with some departments facing up to 50% cuts. CEO Elon Musk aims to address investor concerns with promises of cheaper EV models and a focus on robotaxi technology.

Portfolio Pulse from Ramakrishnan M

April 26, 2024 | 7:36 am

TALO

Talos Energy Inc. (NYSE:TALO) announced organizational updates following the acquisition of QuarterNorth Energy Inc., including promotions and new appointments to support growth and strategic priorities. Sergio Maiworm was promoted to Executive Vice President and CFO, effective April 24, 2024. Jim Brysch and Truitt Smith, former QuarterNorth employees, were appointed as Vice Presidents, and Francisco Noyola was promoted to Vice President - Mexico. Clay Jeansonne joined as Vice President - Investor Relations, and John Parker left the company. CEO Tim Duncan emphasized the leadership's role in strengthening Talos's position as a premier E&P offshore operator.

Portfolio Pulse from Benzinga Newsdesk

April 25, 2024 | 9:00 pm

KTCC

Key Tronic Corporation (NASDAQ:KTCC) announced preliminary Q3 EPS of $(0.18)-$(0.23) with revenue around $140M, below expectations due to severance costs of ~$3.7M from reducing its workforce by over 450 employees in Mexico. The company cited softening demand and expects annual savings of over $10M from the layoffs. Additionally, production was impacted by severe weather in Mississippi and Arkansas, and expenses increased due to the strengthening of the Mexican Peso.

Portfolio Pulse from Benzinga Newsdesk

April 25, 2024 | 8:43 pm

T

The Communications Workers of America Union announced that AT&T workers have voted overwhelmingly to authorize a strike if necessary. This decision affects AT&T West in District 9.

Portfolio Pulse from Benzinga Newsdesk

April 25, 2024 | 7:11 pm

CCOEY

Capcom ADR (OTC:CCOEY) has raised its full-year earnings forecast due to the success of Dragon's Dogma 2 and Street Fighter 6, increasing the net income forecast from ¥40 million to ¥43.3 million. The dividend forecast is set at ¥70 per share. Despite a turbulent launch for Dragon's Dogma 2, it sold 2.2 million units by early April 2024. Capcom also plans to increase starting salaries for new graduates in Fiscal Year 2025 and will make a special payment to employees in fiscal year 2024. Capcom's stock is currently up 1.83% at $8.34.

Portfolio Pulse from Franca Quarneti

April 25, 2024 | 6:04 pm

LUV

Southwest Airlines' CEO announced during a conference call that the company plans further capacity reductions in 2024 and 2025, leading to challenges in headcount and efficiency. The airline has frozen and stopped all hiring except for critical positions, acknowledging they are significantly off their plan to cover the cost of capital in 2024.

Portfolio Pulse from Benzinga Newsdesk

April 25, 2024 | 4:47 pm

BA

LUV

Southwest Airlines CEO supports Boeing's efforts to address and fix issues, stating it's beneficial for a long-term partnership. He also mentioned that Southwest's headcount will decrease in 2025 and confirmed a visit to Boeing in late March.

Portfolio Pulse from Benzinga Newsdesk

April 25, 2024 | 4:43 pm

LUV

Southwest Airlines Co (NYSE:LUV) reported a Q1 fiscal 2024 operating revenue increase of 10.9% Y/Y to $6.33 billion, missing consensus estimates. Adjusted EPS fell to $(0.36), and the company experienced an adjusted operating loss of $(377) million. Despite record passenger numbers, challenges included lower-than-expected leisure passenger volume and Boeing delivery delays. The company announced cost control measures and operational closures at four airports. Q2 guidance anticipates a RASM decrease and increased costs, with LUV shares dropping 9.3%.

Portfolio Pulse from Akanksha Bakshi

April 25, 2024 | 3:14 pm

SPY

U.S. Treasury Secretary Yellen stated in a Reuters interview that the 'China Shock' led to a significant loss of manufacturing jobs in the U.S., with some regions yet to recover. She emphasized the need for free trade to benefit the entire country and mentioned the possibility of sanctioning Chinese banks if necessary.

Portfolio Pulse from Benzinga Newsdesk

April 25, 2024 | 2:29 pm