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Shell And Centrica Cut 12,000 Jobs

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When employees and customers are two a penny or come well below in importance to investors/profits and dividends paid you know there is trouble ahead......

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Odd how our resident capitalist austerians think cutting jobs is bad news.

Strange times indeed.

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Its interesting but this might be about to change.Noticed Ladbrokes have told shareholders sorry we are slashing dividend to invest in business.The website was terrible before but they have just launched a new one (looks like a Mobenga front end) that seems to of gone from worst in the industry to the best.

Maybe its got to the stage where companies simply cant cut anymore,and cant sustain handing out all free cash flow as dividends or the business goes under?.

The big supermarkets of course are doing the same.

Perhaps with deflation business will have to invest just to stay above water?.

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Anything to do with the planned rises in minimum wages?

Are companies weighing up the cost of labour and cutting their cloths accordingly?

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When employees and customers are two a penny or come well below in importance to investors/profits and dividends paid you know there is trouble ahead......

According to my Bloomberg app dividend yield at Centrica is about 4.8%.

It's not terrible, but investors are hardly making huge profits.. especially if you factor in the share price being lower now than it was five years ago.

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Guest eight

According to my Bloomberg app dividend yield at Centrica is about 4.8%.

It's not terrible, but investors are hardly making huge profits.. especially if you factor in the share price being lower now than it was five years ago.

Well it's still free money, just for having money.

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Guest eight

Its interesting but this might be about to change.Noticed Ladbrokes have told shareholders sorry we are slashing dividend to invest in business.The website was terrible before but they have just launched a new one (looks like a Mobenga front end) that seems to of gone from worst in the industry to the best.

Maybe its got to the stage where companies simply cant cut anymore,and cant sustain handing out all free cash flow as dividends or the business goes under?.

The big supermarkets of course are doing the same.

Perhaps with deflation business will have to invest just to stay above water?.

I knew you must have some kind of vice.

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As I said before there is and never will be a recovery, this is the long grind down to zero which finishes up with total collapse and possible a big ****** off war.

There are 3x people for every one job, the jobs that are there are usually terrible or wages are depressed. Those few jobs left are being slowly automated out of existence.

Just be glad you found this site didn't get yourself into 300k of debt for a shit house that in a few years will end up utterly worthless.

Im betting not on wars against external forces like"Oceania" :) but I am betting on internal wars mostly this time, soldiers on the streets and such.

Pure fun speculation on my part though :)

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Anything to do with the planned rises in minimum wages?

Are companies weighing up the cost of labour and cutting their cloths accordingly?

I doubt many of the Centrica O+G roles are very close to being minimum wage. Quite the opposite probably.

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I doubt many of the Centrica O+G roles are very close to being minimum wage. Quite the opposite probably.

I hadn't realised these were specifically O&G roles.. but reading the article I see that you're right.

Not big news then really, the same market forces affecting everyone else in that sector.

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Well it's still free money, just for having money.

Dividends don't mean much if your capital value has dropped. But sure, shares offer better returns than a bank account if you get lucky/right.

If you feel it is a zero-risk monopoly then another option would be for the state to purchase it and run it as a national interest. We're not very keen on that in this country.. having the public sector running things doesn't always seem to save the public much money.

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Oil & gas industry is very much feast or famine. I was peripherally involved with it in the 90s. One oil services company cut 9/10 of their training centres near overnight when the oil price was around $10. 12 months later they were re-hiring again.

As a worker in the sector, you'd be mad not to prepare accordingly.

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Oil & gas industry is very much feast or famine. I was peripherally involved with it in the 90s. One oil services company cut 9/10 of their training centres near overnight when the oil price was around $10. 12 months later they were re-hiring again.

As a worker in the sector, you'd be mad not to prepare accordingly.

Most O+G workers are mad, going by the number of Ranger Rovers on finance I know of.

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Shareholder power holding back economic growth.....worth a second mention. ;)

http://www.oxfordobserver.com/shareholder-power-holding-back-economic-growth/

Seems to concur with the ratio of price to earnings to dividend paid out on the FTSE 100. The p/e is quoted at about 17.5* (or 5.7%) of which dividends are at 3.6%...so 63% of net earnings.

*also gives me an excuse to ask why has the p/e been adjusted by 3.22 points overnight from about 14.5. Both the Telegraph and the FT both running with this revised figure today. Company results could not account for such a large one day move, could they ?

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