Electronic unemployment filing systems have crashed in at least three states in recent days amid an unprecedented crush of thousands of newly jobless Americans seeking benefits, and other states were adjusting their systems to avoid being next. About 4.5 million Americans are collecting jobless benefits, a 26-year high, so the Web sites and phone systems now commonly used to file for benefits are being tested like never before. Even those that are holding up under the strain are in many cases leaving filers on the line for hours, or kissing them off with an “all circuits are busy” message. Agencies have been scrambling to hire hundreds more workers to handle the calls. Systems in New York, North Carolina and Ohio were shut down completely by technical glitches and heavy volume, and labor officials in several other states are reporting higher-than-normal use.
Bailout salaries total $1.2 million
The government estimated Tuesday that it will spend $6.5 million by the end of January in salaries and other administrative costs for the $700 billion financial rescue program. The Treasury Department estimate was part of the latest update it’s required to provide Congress on the operation of the largest government bailout effort in history. Treasury projected that it would spend nearly $1.2 million on salaries through the end of January and more than $5.3 million on other expenses.
Alcoa cuts 26 jobs at Wenatchee plant
Alcoa Inc. plans to cut 26 jobs at its aluminum plant in Wenatchee. The world’s third-largest aluminum maker said Tuesday it will cut 13 percent of its work force worldwide. The Pittsburgh-based company has two smelters in Washington, one in Ferndale and the other in Wenatchee. Wenatchee Works spokeswoman Sharon Kanareff says the plant cut 43 jobs in November. The latest layoffs bring total employment at the Wenatchee plant to about 370 workers.
Former Enron CEO to be resentenced
An appeals court has upheld former Enron Corp. Chief Executive Jeff Skilling’s convictions for his role in the energy giant’s collapse but ordered that he be resentenced. A three-judge panel of the 5th U.S. Circuit Court of Appeals in New Orleans on Tuesday denied Skilling’s request that his convictions be overturned because they were based on an incorrect legal theory. But the judges ordered that Skilling be resentenced. They said the district judge erred by applying guidelines that resulted in a 24-year prison term. Skilling was convicted in May 2006 on 19 counts of fraud, conspiracy, insider trading and lying to auditors for his role in the collapse.
Factory orders continue to fall
Orders to factories fell for a record fourth straight month in November, and analysts believe manufacturing will continue to suffer in coming months as the country slogs through a recession entering its second year. The Commerce Department said Tuesday that orders declined by 4.6 percent in November, nearly double the 2.5 percent drop economists expected. Orders have been falling since August.
From Herald news services
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