After break, investors put on brakes
NEW YORK, April 9 (UPI) -- U.S. stocks headed lower Monday as investors reacted to a report released on Good Friday, when markets were closed.
The Labor Department said Friday that 120,000 non-farm jobs were added to the economy in March, far short of the 203,000 jobs economists expected.
But investors took until Monday morning to adjust their positions. Otherwise, there are no major economic reports due this week until the March Consumer Price Index, which is due for release on Friday the 13th.
In early afternoon trading on Wall Street, the Dow Jones industrial average was down 0.73 percent, losing 95.96 points to 12,965.80. The tech-dominated Nasdaq composite index gave up 26.77 points to 3,053.73, off 0.87 percent. The Standard and Poor's 500 index shed 12.65 points to 1,385.43, off 0.9 percent.
The 10-year treasury note rose 7/32 to yield 2.034 percent.
The euro rose to $1.3124 from Thursday's $1.3096. Against the yen, the dollar rose to 81.54 from Thursday's 81.63 yen.
In Tokyo, the Nikkei 225 index shed 1.47 percent, 142.19, to 9,546.26.
Sony expected to cut 10,000 jobs
TOKYO, April 9 (UPI) -- The structuring of Japanese electronics giant Sony Corp. is to include 10,000 job cuts, sources told The Wall Street Journal.
The job cuts have not been made public officially but are expected to be included in company plans to be released after a corporate meeting Thursday, the Journal said.
Sony's new Chief Executive Officer Kazuo Hirai is attempting to turn around a four-year string of losses. The key is to streamline the company without losing its reputation as an innovator.
Besides the job cuts, which amount to 6 percent of the company's payroll, Sony is said to be looking to unload peripheral companies, such as a chemical company it sold in March to the Development Bank of Japan.
A division that could see cutbacks is Sony's television business, which has not made a profit since 2003. The firm has already cut its goal of producing 40 million televisions a year in half.
To keep its edge as an innovator, yet adapt to the current business environment, the bulk of the job losses could come from the sales department, the Journal said.
With demand up, job training funds drop
WASHINGTON, April 9 (UPI) -- Budget data shows the U.S. government is spending less on training dislocated workers in 2011 than it spent in 2006, before the recession hit.
With adjustments for inflation, the federal government is spending 18 percent less on training workers for new careers than it did five years ago, The New York Times reported Monday.
The government is also spending 13 percent less on job support programs, such as teaching interview skills or writing cover letters and resumes, the newspaper said.
While the funding has dropped, the need has escalated dramatically. There are 6 million more people looking for work in 2012 compared to 2006.
While lawmakers have squabbled over extending unemployment benefits, however, money spent on training and job seeking support has quietly eroded.
The numbers on a local level highlight the problem. In Dallas, there are enough federal funds available to train 43 workers for the remainder of the fiscal budget year. Meanwhile, in the Dallas area in the past 10 weeks, 23,500 people have lost their jobs.
The situation has left some employers high and dry, such as Atlas Van Lines, which recently sought 100 new truck drivers.
Training for a truck driver, however, costs $4,000, but training funds in Louisville, Ky., where the company sought recruits, had already been depleted, the Times said.
"We should be spending significantly more than we were spending five years ago. And even then we would not be catching up to the demand," said Andy Van Kleunen, executive director of the National Skills Coalition.
President Barack Obama's budget proposal calls for $2.8 billion in job retraining funds to be spread over 10 years. The budget embraced by the Republican-controlled House calls for cuts in job training.
Ironically, spending on training programs peaked at $2.1 billion in 2000 and despite greater demand, current spending is down to $1.2 billion per year, the newspaper said.
Avon chooses new CEO
NEW YORK, April 9 (UPI) -- U.S. beauty products company Avon said Monday it had hired Sherilyn McCoy from Johnson & Johnson to replace Andrea Jung as its chief executive officer.
McCoy, 53, has worked at Johnson & Johnson for 30 years, most recently as vice chairman of the company's Pharmaceutical, Consumer, Corporate Office of Science & Technology, and Information Technology Divisions.
Essentially, she had oversight of more than 60 percent of Johnson & Johnson's $65 billion in revenues, Avon said in a statement.
Jung, as previously announced, is dropping her CEO responsibilities but staying with Avon as its executive chairman.
"We are thrilled to have someone of Sheri's caliber assuming the leadership of Avon. She is also known for her ability to identify and empower great talent and motivate and inspire people," Jung said.
Along with a sales force of "over 6 million," McCoy said, Avon has "an enviable geographic footprint." She said she was "extremely honored and excited to join Avon -- a great company with an iconic brand and so much clear potential."
