Wednesday, January 28, 2009

More than 400 senior managers within the United Kingdom’s BBC, which employs around 28,500 people, have been told that they face a real-terms pay cut as bonuses and pay rises are scrapped this financial year.

Tuesday’s announcement said that bonuses will not now be paid and pay rates will stay fixed until 2010. The BBC’s executive management board, including Director-General Mark Thompson, his deputy Mark Byford and the Director of BBC Vision Jana Bennett did not take their bonuses for 2009 and have already had their pay frozen. Senior staff will have their bonus plan abandoned whilst junior staff have been told to expect any pay increases to be modest.

The BBC is under budget constraints after receiving a licence fee settlement below the amount management felt it required. Coupled with the effects of the credit crunch, the BBC is believed to need to find £1.7bn in savings between now and 2013 but has seen a further £450m shortfall develop. Initial plans to sell important BBC buildings have been put on hold since the falls in the property market in 2008. The planned pay freeze could save £20 million but risks angering unions who are seeking a general increase of £1,800 per person. Gerry Morrissey of BECTU, the broadcasting union, has already mentioned the possibility of industrial action. He told Sky News, “We have never been in favour of bonuses being paid so believe this should happen every year, and the money go towards eradicating low pay.”

The Press Association quotes Mark Thompson as telling staff “A strategic contingency exercise, led by a senior group of managers, has been looking at what additional funds are needed should we need to put aside additional funds to cover our current estimate of the financial risks we face… We need to be in as strong a position as possible if we are to deliver distinctive content and meet our key strategic projects, such as moving to the new Broadcasting House, moving network production to the nations and funding our broadband future.”

The pay freeze will not affect the Corporation’s highest paid on-air talent, who are on individual contracts.

Monday, September 7, 2015

The US economy added 173,000 jobs in August, the Bureau of Labor Statistics reported on Friday. The unemployment rate fell from 5.3 to 5.1 percent, the lowest since April 2008.

Although August job gains were lower than most economists forecast, job growth numbers for June and July were revised upwards by a combined 44,000. Average job gains over the past three months stand at 221,000, compared to March-May’s 189,000 monthly average. Over the past twelve months, job growth has averaged 247,000 per month.

Average hourly earnings rose 0.3 percent, or 8 cents, marking the largest increase in earnings in seven months. Hourly earnings had risen by 6 cents in July. Wages have risen by 2.2 percent over the past year.

Job growth in August was primarily concentrated in the health care and social assistance, financial activities, and professional and business services sectors. Those three areas of the economy added a combined 108,000 jobs. Food service and drinking places employment increased by 26,000 over the month, and other economic sectors saw employment hold steady. Manufacturing, on the other hand, saw employment decline by 17,000 in August. A stronger dollar and worldwide economic weakness make US exports less desirable, leading to a flattening in manufacturing employment so far this year after steadily rising in the early years of the US economic recovery.

The solid overall job gains led analysts to slightly raise expectations for a decision by the Federal Reserve to raise interest rates this month. Investors raised the likelihood of a September rate increase from 26 percent before the jobs report to 30 percent, and stocks dropped by over one percent on Friday. “The payrolls data is certainly good enough to allow for a Fed rate hike in September,” said Deutsche Bank’s head of currency strategy, Alan Ruskin. “The big question is still whether financial market volatility will scupper the plans.”

“This is the first time the market has looked at a Fed meeting and really has no idea what the Fed is going to do,” said Mark Kepner, a New Jersey equity trader with Themis Trading. “Right now you’re looking at the overall uncertainty and that’s what’s hanging on the market. I don’t think this number in and of itself changes how somebody’s going to vote.”

Monday, September 7, 2015

The US economy added 173,000 jobs in August, the Bureau of Labor Statistics reported on Friday. The unemployment rate fell from 5.3 to 5.1 percent, the lowest since April 2008.

Although August job gains were lower than most economists forecast, job growth numbers for June and July were revised upwards by a combined 44,000. Average job gains over the past three months stand at 221,000, compared to March-May’s 189,000 monthly average. Over the past twelve months, job growth has averaged 247,000 per month.

Average hourly earnings rose 0.3 percent, or 8 cents, marking the largest increase in earnings in seven months. Hourly earnings had risen by 6 cents in July. Wages have risen by 2.2 percent over the past year.

Job growth in August was primarily concentrated in the health care and social assistance, financial activities, and professional and business services sectors. Those three areas of the economy added a combined 108,000 jobs. Food service and drinking places employment increased by 26,000 over the month, and other economic sectors saw employment hold steady. Manufacturing, on the other hand, saw employment decline by 17,000 in August. A stronger dollar and worldwide economic weakness make US exports less desirable, leading to a flattening in manufacturing employment so far this year after steadily rising in the early years of the US economic recovery.

The solid overall job gains led analysts to slightly raise expectations for a decision by the Federal Reserve to raise interest rates this month. Investors raised the likelihood of a September rate increase from 26 percent before the jobs report to 30 percent, and stocks dropped by over one percent on Friday. “The payrolls data is certainly good enough to allow for a Fed rate hike in September,” said Deutsche Bank’s head of currency strategy, Alan Ruskin. “The big question is still whether financial market volatility will scupper the plans.”

“This is the first time the market has looked at a Fed meeting and really has no idea what the Fed is going to do,” said Mark Kepner, a New Jersey equity trader with Themis Trading. “Right now you’re looking at the overall uncertainty and that’s what’s hanging on the market. I don’t think this number in and of itself changes how somebody’s going to vote.”

Monday, September 5, 2005

Feel free to use the Wikimedia sites to solve our Wikinews crossword. Please do not fill it out online as it would spoil it for other people; print it out and fill it in at your own leisure!

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Thursday, July 14, 2005

First Active has become the first financial institution to offer 100% mortgages in the Republic of Ireland. The bank previously offered 100% financing to professionals in finance and medicine, but is now to offer this product to anyone who can afford to meet the repayments.

The development is a huge boost for first time home buyers who have been struggling to get on the Irish property market in recent years due to the rapid increase in house prices. A typical first time buyer in Dublin with 92% financing would normally have to put down a deposit of €20,000-€30,000 in cash, but now have the option to produce no deposit.

First Active has said that 100% mortgages will be available across its entire range of mortgage products.

Note however that this is not necessarily an entirely positive development.

The United States and most of Europe have experienced a housing price bubble in recent years. A bubble occurs when buyers purchase a property not because its price is appropriate for its actual value but because they expect the price to significantly rise in the short term permitting resale with a profit.

In other words, the prices people pay for properties becomes divorced from the real value of the property; the purchase is speculative and depends purely upon the expectation that people will continue to buy properties in this way (e.g. without proper consideration of their real value).

The terrible weakness in this is that when the market corrects itself and prices fall to a level where properties are being priced at their actual realistic value, anyone holding a property loses a great deal of money, since the price they paid does not reflect the actual realistic value of the property.

This kind of shock to the housing market is extremely undesirable. Significant write downs in the value of property often significantly depress the economy as a whole.

Less than 100% mortgages force buyers to invest a significant amount of money in the act of purchasing their house, which tends to discourage purely speculative purchasing, thus helping to mediate house price bubbles.

With 100% financing, anyone who can meet repayments can speculatively purchase a property. This naturally encourages pricing bubbles.

Thursday, October 26, 2006

The upcoming 2006 Brampton municipal election, to be held November 13, features an array of candidates looking to represent their wards in city council or the council of the Peel Region.

Wikinews contributor Nick Moreau contacted many of the candidates, including Vicky Dhillon, asking them to answer common questions sent in an email. This ward’s incumbent is Garnett Manning; also challenging Manning is Stella Ambler, Mandeep Dhaliwal, Daljit Gill, and Nalem Malik.

Tuesday, May 15, 2007

Software giant Microsoft’s chief lawyer Brad Smith claimed in an interview published in the magazine Fortune on Monday that open-source software products violate 235 of Microsoft’s patents. The main transgressors are claimed to be Linux (107 patents) and OpenOffice.org (45), with e-mail programs infringing 15 patents. Microsoft wants royalties to compensate for the patent breaches.

According to Microsoft’s Vice-President of intellectual property and licensing, Horacio Gutierrez, the company wants to negotiate with the open-source companies rather than sue them. “If we wanted to litigate we would have done that a long time ago. Litigation is not an effective way of going about solutions,” Gutierrez said. According to him, Microsoft has over the last years tried to work towards a “constructive” solution to the alleged problem of patent violation.

Microsoft in the past has used the strategy of cross-licensing to get royalties from companies who infringe their patents, for example in their deal with Novell. On a company blog, Novell reiterated that their deal “is in no way an acknowledgment that Linux infringes upon any Microsoft intellectual property.”

“We don’t think that customers will want to continue on without a solution to the problem,” Gutierrez said about Microsoft’s approach to guaranteeing companies that they won’t get sued because they use the allegedly patent-infringing Linux operating system.

The upcoming third version of the GPL licence, the licence under which Linux is released, will prohibit Linux distributors to agree to patent royalty deals. Microsoft called these “attempts to tear down the bridge between proprietary and open-source software that Microsoft has worked to build with the industry and customers.”

A related U.S. Supreme Court ruling from April 30th showed how software patents can be subject to court challenges; basically, if the innovations patented are “obvious”, the patent is weakened. Joe Lindsay, information officer for a mortgage company, pointed out that the Unix code that Linux is based upon preceded Microsoft Windows, which might also be a reason for some patents to be invalid.

Red Hat, the biggest Linux distributor, said in a statement on Monday:

Larry Augustin, former CEO of a company called VA Linux (now VA Software), responsible among other things for launching SourceForge.net, an open-source software development community, posted a message on his blog under the title “It’s Time for Microsoft to Put Up or Shut Up”:

According to the Fortune report, more than half of the Fortune 500 companies are estimated to use Linux in their data centers.

Saturday, September 8, 2007

Ford Motor Company, the U.S. car maker, will reportedly pay €57 million (US$78 million) for a 72.4 percent stake in the Romanian assembly plant Automobile Craiova, a Romanian official said Friday.

“The offer of Ford Motor Company for a 72.4 percent stake is €4.1556 per share or €57 million overall,” said Sebastian Vladescu, head of the State Property Agency (AVAS), after opening Ford’s improved offer. Vladescu added that the contract may be signed on September 12, during the auto show in Frankfurt.

The Romanian government bought back the Craiova-based car maker from Daewoo Motors, in late 2006 for US$51 million. As the Korean company was bankrupt, the government had to pay another $10 million for debts stemming from past loans. Ford is the only bidder for the purchase of the factory.

According to Washington Post, many auto-part makers have set up in the new European Union member country, attracted by cheap labor, favourable tax rates and the rising output of Renault’s Dacia plant. The vice president of Dacia, Constantin Stroe, said that the price Ford offers is not important. “It’s important to have the factory working as soon as possible”, he added. “With this production facility, Romania will become an important auto production center in Europe”, concluded Stroe, cited by HotNews.