Toy maker Mattel to cut 1,000 jobs worldwid

[BEG]

http://ap.google.com/article/ALeqM5hWMMLLt7nJJE0vKD1LEoW-u92y4QD949M71G2

Toy maker Mattel to cut 1,000 jobs worldwide
By MAE ANDERSON – 3 hours ago

NEW YORK (AP) — Mattel Inc. said Thursday it is cutting about 1,000 positions worldwide because of the economic downturn that is clouding the holiday outlook for toy makers.
Mattel, which makes Barbie, American Girl and Fisher Price products, among others, said the positions amount to 3 percent of its worldwide work force and will reduce its professional and management staff by 8 percent.

The company said the cuts will come from a combination of layoffs, attrition and retirements and will not affect holiday toy production.
Mattel did not break down the numbers by region but said about 170 positions were cut at its El Segundo, Calif. headquarters. Some 70 job cuts are at the company's Fisher Price unit, which has a total staff of 900.

"We had our best year last year. ... However, we're not immune to the unbelievable, unprecedented rise in the cost of manufacturing, the recessionary trends and the slowing economy," Fisher Price spokeswoman Brenda Andolina said from the unit's headquarters in the Buffalo, N.Y., suburb of East Aurora.
There were also an undisclosed number of job cuts at Mattel's American Girl division, as well as international sales and marketing offices globally.
The company said the move was part of an attempt to analyze its cost structure and make changes to boost productivity. The economic slowdown "amplified" the need to address Mattel's structure and streamline its global work force, spokeswoman Lisa Marie Bongiovanni said in a statement.
Toy makers have been battling high costs for commodities such as resin and have had to pass some of the costs on to consumers via higher selling prices.
Last month, Mattel reported fiscal third-quarter profit edged up less than 1 percent to $238.1 million, falling short of analyst expectations. Sales rose 6 percent to $1.95 billion.
Expenses for advertising, promotions and other selling and administrative expenses all rose during the quarter.
No other major toy companies have announced job cuts recently, but all are facing a difficult environment because of commodity costs and consumers who are reluctant to spend money.

*snip*

For those of you who don't know, my husband works for a company owned by Mattel.  Their round of layoffs were monday.  He didn't get laid off (nor did anyone who works for him) but a lot of people in his office did. 

[Chris]

Could be worse.  He could work for Ford. 

[BEG]

Could be worse.  He could work for Ford. 

True.  Some of the people laid-off had worked for the company my husband works for for almost as long as my husband (my husband has worked there since March 1994).  These people are like family, not coworkers. 

[Miss Mia]

Hopefully this is the only round they go through BEG.  *hugs*