GIA Cuts Staff, Salaries

[John P]

http://www.jckonline.com/article/CA6622166.html?nid=2054&source=title&rid=1997254392

The Gemological Institute of America reduced its workforce Thursday by 11 percent across “all departments on both coasts,” the Institute confirmed to JCK. In addition, executives took a 10 percent pay cut.

“We are in a deep recession and there is a liquidity crisis,” said its spokeswoman. “All aspects of the gem and jewelry industry have been severely affected. And when the pipeline is affected, we are affected.”

This will “somewhat slow” GIA’s international expansion plans, the spokeswoman said. The Institute also closed its Los Angeles school recently.

“We were as generous as we could be with people,” the spokeswoman said. “We did as many things as we could do to avoid this.”


Our hopes and prayers for a fast recovery - to everyone affected by the current situation.

 

[strmrdr]

sad but not surprising.
My area is in a spending freeze until the automaker mess is answered.
No one is spending money.
The 2 biggest employers are:
1: health care
2: automotive related

Unemployment just hit 11% (official numbers, if you count underemployed its 20%+)
If any of the big 3 go down it will hit 15% if the Chrysler plant closes it will hit 30%+
My business dropped to near 0 in Nov. and hasn''t picked up.

 

[Ellen]

 

[coatimundi_org]

My class was the last G.G. class in Los Angeles. They just shut the campus down. It was very sad. A small campus, but convenient for many--such a shame.

 

[diagem]

Date: 12/15/2008 11:36:13 AM
Author:John Pollard
http://www.jckonline.com/article/CA6622166.html?nid=2054&source=title&rid=1997254392

The Gemological Institute of America reduced its workforce Thursday by 11 percent across “all departments on both coasts,” the Institute confirmed to JCK. In addition, executives took a 10 percent pay cut.

“We are in a deep recession and there is a liquidity crisis,” said its spokeswoman. “All aspects of the gem and jewelry industry have been severely affected. And when the pipeline is affected, we are affected.”

This will “somewhat slow” GIA’s international expansion plans, the spokeswoman said. The Institute also closed its Los Angeles school recently.

“We were as generous as we could be with people,” the spokeswoman said. “We did as many things as we could do to avoid this.”


Our hopes and prayers for a fast recovery - to everyone affected by the current situation.

For such a profitable non-profit???
I would be awfully pissed off if I was a fired GIA employer...
Anyone knows the average GIA executive pay-check???

Sounds like GIA is taking advantage of the so-called "deep recession" excuse.

 

[Garry H (Cut Nut)]

Date: 12/15/2008 2:30:28 PM
Author: DiaGem

Date: 12/15/2008 11:36:13 AM
Author:John Pollard
http://www.jckonline.com/article/CA6622166.html?nid=2054&source=title&rid=1997254392

The Gemological Institute of America reduced its workforce Thursday by 11 percent across “all departments on both coasts,” the Institute confirmed to JCK. In addition, executives took a 10 percent pay cut.

“We are in a deep recession and there is a liquidity crisis,” said its spokeswoman. “All aspects of the gem and jewelry industry have been severely affected. And when the pipeline is affected, we are affected.”

This will “somewhat slow” GIA’s international expansion plans, the spokeswoman said. The Institute also closed its Los Angeles school recently.

“We were as generous as we could be with people,” the spokeswoman said. “We did as many things as we could do to avoid this.”


Our hopes and prayers for a fast recovery - to everyone affected by the current situation.

For such a profitable non-profit???
I would be awfully pissed off if I was a fired GIA employer...
Anyone knows the average GIA executive pay-check???

Sounds like GIA is taking advantage of the so-called ''deep recession'' excuse.

Timely, given they are agressively outsourcing to cheaper labour centers

 

[shimmer]

Date: 12/15/2008 3:55:29 PM
Author: Garry H (Cut Nut)

Date: 12/15/2008 2:30:28 PM

Author: DiaGem

Date: 12/15/2008 11:36:13 AM

Author:John Pollard

http://www.jckonline.com/article/CA6622166.html?nid=2054&source=title&rid=1997254392


The Gemological Institute of America reduced its workforce Thursday by 11 percent across “all departments on both coasts,” the Institute confirmed to JCK. In addition, executives took a 10 percent pay cut.


“We are in a deep recession and there is a liquidity crisis,” said its spokeswoman. “All aspects of the gem and jewelry industry have been severely affected. And when the pipeline is affected, we are affected.”


This will “somewhat slow” GIA’s international expansion plans, the spokeswoman said. The Institute also closed its Los Angeles school recently.


“We were as generous as we could be with people,” the spokeswoman said. “We did as many things as we could do to avoid this.”



Our hopes and prayers for a fast recovery - to everyone affected by the current situation.

For such a profitable non-profit???

I would be awfully pissed off if I was a fired GIA employer...

Anyone knows the average GIA executive pay-check???


Sounds like GIA is taking advantage of the so-called ''deep recession'' excuse.

Timely, given they are agressively outsourcing to cheaper labour centers

Awww, really? I just enrolled in the GG program!

 

[shimmer]

That sounded really selfish! Sorry for the GIA employees

 

[tradergirl]

and yet people continue to insist that diamond prices won''t come down

 

[diagem]

Date: 12/15/2008 5:00:07 PM
Author: tradergirl
and yet people continue to insist that diamond prices won''t come down

From GIA:

“We are in a deep recession and there is a liquidity crisis,” said its spokeswoman. “All aspects of the gem and jewelry industry have been severely affected. And when the pipeline is affected, we are affected.”

What does this statement have to do with Diamond prices?
I read it as..., since rough production is halted or lowered to minimum..., cutting centers are not cutting (or cutting at a minimum) Diamonds..., which translates to lower demand for GIA (or any other Lab) reports...

Prices on larger Diamonds (3-4 carat and over [but mostly 6-7 and over]) are experimenting a panic type situation..., if you are in the market for these type of Diamonds..., now is the time for a favorable negotiating position..., but it will not last too long!
Smaller goods (2 cts and lower) are not so affected..., and since production is basically at a halt..., translates to firm prices!

I dont see other laboratories laying off workers? GIA made sooooo much $$$ in the last two decades they can easily keep the workforce in tact! After all...., the "profit" is still intact! By keeping the work force as is, can be translated into better service to cutting houses..., good service was lacking big time in the last few years! instead of a 3-6 week waiting time for reports being issued..., we (cutters) should be getting reports back to us within a few days, which will translate into much easier life for us, jewelers and consumers!

Get the picture?

 

[Garry H (Cut Nut)]

Date: 12/15/2008 3:59:56 PM
Author: shimmer

Date: 12/15/2008 3:55:29 PM
Author: Garry H (Cut Nut)

Date: 12/15/2008 2:30:28 PM

Author: DiaGem


For such a profitable non-profit???

I would be awfully pissed off if I was a fired GIA employer...

Anyone knows the average GIA executive pay-check???


Sounds like GIA is taking advantage of the so-called ''deep recession'' excuse.

Timely, given they are agressively outsourcing to cheaper labour centers

Awww, really? I just enrolled in the GG program!

DiaGem you can see the senior salaries (but maybe not the bonuses) on a website that Marty knows about - the not for profit govt site.

Shimmer you could always emmigrate. The food in Mumbai is stunning!

 

[adamasgem]

Date: 12/15/2008 2:30:28 PM
Author: DiaGem
For such a profitable non-profit???
I would be awfully pissed off if I was a fired GIA employer...
Anyone knows the average GIA executive pay-check???

Sounds like GIA is taking advantage of the so-called ''deep recession'' excuse.

I know of a couple long time, good, GIA personel who have been given the ultimate Christmas present. Seems like the lawyer nun is firmly incharge of the cover-up. I''ll bet there will be EX employees talking now about what they know about Certifigate and the coverup.

Management
Fire the productive
Promote the incompetant
Blame the bottom of the Totum pole.

a 10% executive pay cut, for those in the six figure class already making twice what they are worth... what hypocrites

I feel sorry for some who have been let go..

 

[John P]

Date: 12/15/2008 11:36:13 AM
Author:John Pollard

Our hopes and prayers for a fast recovery - to everyone affected by the current situation.

 

[Beacon]

This is sad.

Indeed the current environment must be adversly affecting their volume. It is a terrible thing to lose one''s job at this time of the year especially.

I hope things improve for all.

 

[Modified Brilliant]

I''m thankful for what GIA has done over the past decades to educate us on
gemological issues..all of us will always need their continuing education.
Even when they are often slow to respond to current issues.

It is a tough time in all industries with lay offs and cutbacks.

Those of us in the jewelry industry for a long time have seen economic
changes but not quite like this.

Let''s all stay positive and ride this one out.

www.metrojewelryappraisers.com

 

[oldminer]

There are very few business models working well in the current economy. The GIA coulodn''t hope to be left untouched. They have done a good job by providing a couple months severance and have showed good faith by their executive pay cuts, too. I suppose service will be a bit faster as they have less work to do, but this is hardly a cause to celebrate.

What more concerns me is where the magic bullet which will bring the economy of the world back on-line is being hidden. With so many governmental agencies doing what they can to mitigate the losses and the potential for chaos, what is actually taking place which will reverse the situation? What are the forces required to "fix" what''s broken? Throwing money at problems often works some magic, but I don''t see the magic happening any time soon. My gut tells me that more is wrong than what endless money will mask or fix. Of course, if anyone wishes to throw money directly in my direction, then any problems I might have are going to be fixed easily...

 

[diagem]

Date: 12/16/2008 11:58:57 AM
Author: oldminer
There are very few business models working well in the current economy. The GIA coulodn''t hope to be left untouched. They have done a good job by providing a couple months severance and have showed good faith by their executive pay cuts, too. I suppose service will be a bit faster as they have less work to do, but this is hardly a cause to celebrate.

What more concerns me is where the magic bullet which will bring the economy of the world back on-line is being hidden. With so many governmental agencies doing what they can to mitigate the losses and the potential for chaos, what is actually taking place which will reverse the situation? What are the forces required to ''fix'' what''s broken? Throwing money at problems often works some magic, but I don''t see the magic happening any time soon. My gut tells me that more is wrong than what endless money will mask or fix. Of course, if anyone wishes to throw money directly in my direction, then any problems I might have are going to be fixed easily...

As a business model or strategy...., I think (and I practice it myself at the present or at least will do my best to try)..., unless its impossible for a Company to pay workers salaries..., lay-offs should be translated to other options (like a wage cut across the board) and be taken into consideration as a last resort..., everyone cuts from theirs so fellow employees are not thrown into the street!

I think GIA is financially in a GREAT position to do this! And I am sorry to hear they are choosing the easy way out!
At least I would expect GIA to show attempts to weather the storm a bit more...

Now in regards to the "magic bullet"..., I think its called "PROPORTIONS"!

I identify this times as things coming or returning back to normal proportions..., sadly most people are paying a (heavy) price..., but things got realy out of hands or wack in the last decade or so..., and the bluff was called!