Fidelity to cut nearly 1,300 jobs
World’s largest mutual fund company to cut 1,300 jobs now, and more later, adding to layoffs from Janus, AllianceBernstein.
November 6, 2008: 2:54 PM ET
NEW YORK (CNNMoney.com) — Fidelity Investments, the largest U.S.-based mutual fund company, is the latest to announce layoffs, which it blames on the economic crisis.

Fidelity said on Thursday that it would cut 2.9% of its 44,400-employee work force, which translates to about 1,300 lost jobs.
…
Crowley said that investors have continued to pour money into Fidelity’s mutual funds, with a net gain of $30 billion so far this year.

But the value of these investments — particularly the equity investments — have declined in step with the stock market. The S&P 500 has lost more than one-third of its value so far this year.

Meyer said that AllianceBernstein’s $590 billion worth of managed assets has lost 28% of its value compared to last year, because of stock market declines.

Fidelity is now handling most of GM’s employee and retiree benefits. Employees and retirees can access the information, make changes and review account balances by telephone or online, and review all benefit coverage. The benefits include:

Savings plans
Retirement programs
Pension plans
Health care
Health and dependent car spending accounts
Life insurance
Disability

http://www.detnews.com/2005/au…..134885.htm

After the Democrats won the White House in 1992, Card helped organize the transition, then found a lobbying job with the American Automobile Manufacturers Association, representing the big three U.S. car companies.

That led to a job as director of government affairs for General Motors for Card, who lives in Holbrook, Mass. He took a leave of absence when the Bush family came calling again.

This time, it was President Bush’s son, George W., who sought him out to coordinate the Republican National Convention in Philadelphia. Card is credited with staging a seamless political coronation with no intraparty squabbling.

Ed Gillespie, the Republican consultant who served as Card’s No. 2 at the convention, said his boss’ management style and disregard for “the trappings of power” suit him for the job of White House chief of staff.

To light a fire under convention workers, he’d typically pop into an office and offer to help rather than nag or dispatch someone else for discipline.

“He’s a very motivational leader,” Gillespie says. “He thinks this is a very serious business, but he wants it to be fun.”

During convention planning, one group of staffers repeatedly ignored Card’s instructions to keep their offices unlocked for easy access by him and others. “One day, the lock was gone,” Gillespie recalled with a chuckle. “He takes control of a situation if need be.”

http://quest.cjonline.com/stor…..7436.shtml

I do have some of jdmckay’s concerns abt if this financial mess hurt Fidelity Investments, they hold GM’s retiree’s fund and the worker’s & retiree’s investments funds. I think they might be a private company.

Andrew Card worked for the American Automobile Manufacturing Association (AAMA) 93 to 98 and it dissolved Dec 1998. The AAMA had 3 customers, the big 2 1/2. Did Card dissolved it? Then he worked as

General Motors Vice President of Government Relations. Card directed the company’s international, national, state and local government affairs activities and represented GM on matters of public policy before Congress and the Administration.

(wiki). Then GM gave him a big send off party before he slide on over the Big WH and was schrub’s COS. Now for the past few years the auto co’s were having trouble why didn’t GM’s buddy at the WH help them out? Why did Bush ignore pleas from them during his last campaign cycle? It just doesn’t make sense. Does GM “want” to go bankrupt? They could get concessions they couldn’t get through the union negotiations, they can get rid of health care (just a few years before national health care is instituted), reduced wages, retiree’s financial obligations? Are some of these people sprouting at the mouth GM has to come in alignment with Toyota just a mouth piece for GM?
Would there be any difference if they went bankrupt under a Bush adm as opposed to a BO adm?

As it happens, because of the gambling going on in the derivative market, this may not turn out as well as one might have hoped, because counterparties may not be able to pay off. Still, this isn’t like the weirdo gambling games played by naked buyers of protection.