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Iconic American brands go through mass layoffs and bankruptcies in Trump recession

Iconic American brands go through mass layoffs and bankruptcies in Trump recession

President Trump’s chaotic response and failure to control the COVID-19 pandemic, his continued insistence on downplaying the virus despite contracting it himself, and his blocking of a significant relief package for months, has resulted in a suffocating economy and a mass extinction of many of America’s most iconic businesses and employers.

Overall, Trump has the worst jobs record in history and is the only president to have lost net jobs on his watch. America’s gross domestic product (GDP) declined by 32.9% in the second quarter of 2020, the worst decline ever reported since estimates began in 1947, shattering the previous record of 10% set in March of 1958. Instead of providing aid for an economy ravaged by his own failed response, Trump shutdown stimulus negotiations despite numerous layoffs across multiple sectors of the economy the week before.

Without any federal unemployment insurance, the average 1 parent 1 child American household will face a budget shortfall of $2,787 a month. In the absence of any federal leadership or any national testing plan, the virus continues to spread as more temporary layoffs become permanent and companies go bankrupt.

A recent report by business accounting firm BDO revealed that:

“High rates of bricks-and-mortar store closures are expected to continue. From January through mid-August, retailers had announced they would close a total of more than 10,000 stores in the U.S., including locations of solvent companies such as Macy’s Inc , Bed Bath & Beyond Inc. and Gap Inc. That has already topped last year’s record 9,500 store closures. Many of the closings through mid-August 2020 were due to retail bankruptcies, which accounted for nearly 6,000 closings.” [Market Watch, 09/29/2020]

According to BDO, 18 major retailers headed to bankruptcy court in the first half of the year and another 11 in July through mid-August for a running total of 27 major retailers.

As of October 15, there have been 46 total retailers that have filed for bankruptcy, making this year on pace to rival 2010, when 48 major retailers filed for bankruptcy in the wake of the 2007–09 recession. Retail bankruptcies in 2020 have already surpassed the 32 such filings recorded last year.

With only 3 months left in the year, there have already been more retail bankruptcies this year than in the past nine years.

Notable bankruptcies this year

At least 200,037 layoffs for U.S. workers have been announced since July at these major corporations which appear to be because of Trump’s failure to contain the virus.

  • NBCUniversal: 35,000 layoffs
  • Disney: 28,000 layoffs
  • Cineworld (Regal): 20,000 layoffs
  • American Airlines: 19,000 furloughed
  • MGM Resorts: 18,000 layoffs
  • JCPenney: 15,000 layoffs
  • Raytheon: 15,000 layoffs
  • United: 13,400 furloughed
  • Shell: 9,000 layoffs (global )
  • Coca-cola: 4,000 layoffs (U.S. and Canada)
  • Allstate: 3,800 layoffs
  • The Cosmopolitan: 3,100 layoffs
  • Bed Bath and Beyond: 2,800 layoffs
  • Dow Chemical: 2,100 layoffs (global)
  • Marathon: 2,050 layoffs
  • Bon Appétit: 2,154
  • Estee Lauder: 2,000 layoffs
  • Amtrak 1,950 layoffs
  • SeaWorld: 1,900 layoffs
  • Ford: 1,400 layoffs
  • KPMG: 1,400 layoffs
  • Dave & Buster’s: 1,300 layoffs
  • General Motors: 1,200 furloughs
  • SalesForce: 1,000 layoffs
  • Spirit Airlines: 1,000 layoffs
  • LinkedIn: 960 layoffs
  • Alcoa: 700
  • Wells Fargo: 700 layoffs
  • L Brands (Victoria’s Secret, Bath and Body Works parent co): 850 layoffs
  • Levi Strauss: 700 layoffs (global)
  • Marriott: 673 layoffs
  • Warner Media: 600 layoffs
  • Goldman Sachs: 400 layoffs

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