AmEx Will Lay Off 7K

Pay increases, hiring halted to prop up credit-card giant's savings
By Ambreen Ali,  Newser Staff
Posted Oct 30, 2008 12:26 PM CDT
AmEx Will Lay Off 7K
Analysts worry that other credit card companies will also suffer as the crisis ensues.   (Getty Images)

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. (More American Express stories.)

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