In the Region
Corvis seeks OK of labor in France to cut jobs there
Corvis Corp., a maker of fiber-optic networking equipment, is seeking approval from labor officials in France to cut about 170 jobs at a unit in that country.
Columbia-based Corvis said it met yesterday with workers committee representatives to propose a plan to eliminate positions at its Corvis-Algety SA subsidiary, and is working with the French government to ensure that the job cuts comply with local labor laws.
Corvis wants to lower expenses as demand for telecommunications equipment fades. French labor laws require companies to seek input on possible job cuts from employee representatives and government agencies.
Eisner, Imre win majority of public relations awards
Eisner Petrou and Associates and Imre Communications won the majority of the 30 2002 Best in Maryland Awards for public relations firms, sponsored by the Maryland Chapter of the Public Relations Society of America.
Eisner won 10 awards in categories including Marketing Communications and the Big Idea Not Implemented. Imre won eight awards, including Community Service and Institutional Programs, and Best in Show for its Community Build Playground Project for Home Depot.
State schools Superintendent Nancy S. Grasmick won the Spirit of Public Relations Award, Robert L. Mead Sr. of Fellow PRSA won the Lifetime Achievement Award, and Nicole Nichols of Warschawski Public Relations won the New Professional of the Year Award.
Elsewhere
HP is reviewing whether to dismiss 4,000 workers
Hewlett-Packard Co. said yesterday that it is reviewing whether it will dismiss some of the 4,000 contract employees in the company's internal technology department, and most workers on the group are being forced to take three weeks off without pay.
HP said it expects to save $15 million to $20 million by imposing the three-week furlough on all but its most critical technology contractors from Monday through July 12.
If the company releases some of those workers, the cuts would be in addition to the 15,000 jobs being eliminated because of HP's $19 billion acquisition of Compaq Computer Corp. Many of those cuts are being achieved through voluntary retirements.
UAL board approves deal with carrier's pilots union
United Airlines parent UAL Corp. said its board approved yesterday an agreement with its pilots union that might shave $520 million in costs over three years and help the world's second-largest carrier restore profit.
The proposal to reduce pay by 10 percent during the next year would compensate pilots with options to buy 13.5 million shares. The agreement, subject to a vote by the carrier's 9,000 pilots, also extends the current contract another 12 months, UAL said.
The agreement is contingent on United's agreeing with its other unions on pay cuts. The airline has said it needs labor concessions to stem losses and support an application for a federal loan guarantee. United's Machinists and flight attendants unions haven't begun talks with the airline.
United also said it will work with the Air Line Pilots Association to develop a plan to link flights with US Airways Group Inc. The two airlines have not decided on the partnership.
WestJet offers low fares to show effect of fees, taxes
WestJet Airlines Ltd., Canada's No. 2 carrier, said yesterday that it will offer ($1.96) one-way fares of $3 Canadian ($1.96 U.S.), excluding fees and taxes, on two short-haul routes to show how the additional charges are discouraging air travel.
The fares will be available June 30 between Calgary and Edmonton, Alberta, and between Ottawa and Hamilton, Ontario, WestJet said. Once government fees and taxes are added, the $3 fare for Calgary-Edmonton rises to $89.27, and the Hamilton-Ottawa fare jumps to $81.78.
WestJet says it lost the most business on those two routes after the Canadian government began levying a security surcharge in April in response to the terrorist attacks of Sept. 11. Travel fell 19 percent in April and 16 percent last month on the Calgary-Edmonton route and 12 percent on the Hamilton-Ottawa route last month.
Agilent plans to end employee pay cuts
Agilent Technologies Inc. said yesterday that it will end employee pay cuts that the maker of test and measurement equipment started last year to cope with a sales slump that has resulted in four quarters of losses.
Agilent chopped salaries for chief executive Ned Barnholt and top officials in April last year, and lowered pay for other workers the next month. The company said it will restore full pay to employees worldwide, including Barnholt, as of Aug. 1.
Barnholt eliminated 6,000 jobs and consolidated manufacturing as demand for electronics gear lagged, and he has said the Palo Alto, Calif.-based company will be profitable in its October quarter.
Circuit City dropping VHS movies for DVDs
Circuit City Group, the second-largest U.S. electronics retailer, is eliminating VHS movies from its stores to make room for faster-selling DVDs. It is the first national retailer to do so.
The company said yesterday that it has removed video-cassette movies at some of its 622 stores and plans to stop VHS sales at other stores, spokesman Bill Cimino said.
Retailers such as No. 1 electronics seller Best Buy Co., Borders Group and Blockbuster Inc. are increasing space devoted to DVDs, or digital versatile discs, as more people buy DVD players. Circuit City is the first national retailer to cut VHS from its stores but will continue to sell videocassette recorders and blank VHS tapes.
Microsoft, Verizon to offer joint high-speed service
Microsoft Corp. and Verizon Communications will introduce a joint service next year that sends Verizon high-speed Digital Subscriber Line, or DSL, Internet customers to MSN network content and Web-browsing services, the companies said yesterday.
The deal is part of MSN's efforts to catch up to America Online and increase its reach as many DSL access companies are starting special promotions or deals to win customers. The companies did not disclose financial terms of the agreement.
Verizon has 1.4 million customers for its DSL service, which allows high-speed connections to the Internet.
UAW asking Ky. workers about joining union
The United Auto Workers union is asking workers at Toyota Motor Corp.'s Kentucky plant whether they want to join the union, as new UAW President Ron Gettelfinger emphasizes organizing efforts.
"Because a significant number of Toyota workers approached us about a UAW organizing drive, we have agreed to support their effort to determine if there is majority backing for a union" at the Georgetown, Ky., plant, Gettelfinger said in a statement. UAW spokesman Paul Krell declined to comment further.
The more than 7,000 Toyota workers are being asked to sign cards supporting the union. If the UAW gets cards from a majority, it can ask the U.S. Labor Department to hold an election, which would be the first for the union at the Georgetown plant, which builds Camry and Avalon sedans and Sienna minivans for Japan's largest automaker.
Low-alcohol beverage cuts into Japan beer sales
Beer has gone flat in Japan. Once the mainstay of factory workers after a hard day's work and the social cement of the office crowd, beer is quickly losing its loyal following, and not because the Japanese don't relish tossing back an icy cold one.
Thanks to a tax loophole, happoshu, a new, low-alcohol beverage that looks and tastes like beer, is nearly half the price. That happoshu has stolen 30 percent of the beer market underscores how hard times are tightening purse strings.
This column was compiled from reports by Sun staff writers, the Associated Press and Bloomberg News.