Rockwood Cuts Jobs, Freezes Salaries

As a result of the global recession that intensified in October, Rockwood Holdings has reduced workhours, eliminated jobs, and initiated salary freezes because of a decline in demand across all product lines except medical ceramics. During a conference call with investors, CEO Seifi Ghasemi said that these cost-cutting measures, together with those taken earlier in the year, would save the firm $150 million annually and result in the elimination of 893 jobs, or almost 9% of Rockwood's global workforce. In addition, he said, the firm has reduced salaries in certain business units and decreased capital expenditures.