[miningmx.com] – CATERPILLAR is to cut up to 10,000 jobs over the next four years following the collapse in the price of crude oil – a move that comes only two years after it cut 13,000 from its workforce as sales to metal producers fell.
“They’ve finally opened up the manila envelope that says “doomsday’ on it and they’re executing the plan that they hoped they would never have to execute,’ Sameer Rathod, an analyst at Macquarie, told Bloomberg News. “No one knows what the shape of the downturn looks like or any shape of the recovery,” he said.
Caterpillar will cut as many as 5,000 workers this year and another 5,000 by 2018. It reduced a 2015 revenue projection by $1bn and said sales are expected to drop 5% next year as 2016 results will decline across the company’s three largest segments led by “the most significant decline in the oil and gas portion of our energy and transportation segment,’ said Bloomberg News.
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