by Bill McBride on 5/29/2007 07:59:00 PM
Tuesday, May 29, 2007
From CNNMoney: Pulte to slash work force by 16% (hat tip Brian)
Pulte Homes, the nation's fourth-largest homebuilder, announced a restructuring plan Tuesday, saying it plans to further trim its work force by 16 percent.I think the builders are moving past denial, and entering the depression phase for housing (in two meanings of the word!). From M-W:
The Bloomfield Hills, Mich.-based homebuilder said it would also take a pretax charge between $40 million and $50 million.
"The homebuilding environment remains difficult and our current overhead levels are structured for a business that is larger than the market presently allows," Richard J. Dugas, Jr., the company's president and CEO said in a statement.
"Despite reducing our work force by approximately 25 percent in 2006 and early 2007, we find it necessary at this time to further reduce overhead expenditures, including, unfortunately, reducing an additional sixteen percent of our jobs," he added.
1) a state of feeling sad,Hope, according to Home Builders chief economist David Seiders, is still years away.
2) a period of low general economic activity marked especially by rising levels of unemployment.
Posted by Bill McBride on 5/29/2007 07:59:00 PM