AmEx Will Lay Off 7K

Pay increases, hiring halted to prop up credit-card giant's savings
By Ambreen Ali,  Newser User
Posted Oct 30, 2008 12:26 PM CDT
Analysts worry that other credit card companies will also suffer as the crisis ensues.   (Getty Images)
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(Newser) – Noting that even wealthy Americans are struggling financially, American Express announced today it will cut 10% of its workforce, halt executive pay increases, and freeze new hires. The creditor to the elite will charge $440 million against fourth-quarter results to cover restructuring after 7,000 jobs are cut across all units, MarketWatch reports. AmEx shares were trading 2% higher this morning.