Dollar Thrifty Lays Off Hundreds

Thursday, October 30th 2008, 1:05 pm
By: News On 6

By Ashli Sims, News On 6

TULSA, OK -- One of Tulsa's largest employers has slashed hundreds of jobs. Dollar Thrifty is the latest Green Country company to cut jobs in these tough economic times.

It's reducing its workforce by six percent. That means nearly 400 jobs, some right here in Tulsa.

In all 107 workers left the building at 31st and Yale for the last time Thursday evening and the future of the company remains uncertain.

Four years ago, Dollar Thrifty executives were all smiles, celebrating a banner year with a big check and a promise to give almost half of that $7 million back to workers.

Now the Fortune 1000 company is shedding hundreds of workers to stay afloat, 400 to be exact, from senior managers down to field staff. Some analysts say the writing has been on the financial wall for some time.

The company's second quarter earnings were down 30% from one year ago. That's sent Dollar Thrifty shares into a tailspin.

They've lost more than 95% of their value in the last year, plummeting from $34.50 last October to barely a $1.50 now.

In August, the company blamed it's poor second quarter on lagging revenues and it's fleet of vehicles rapidly losing value.

Some say "near bankrupt" car giant Chrysler is partly to blame for the car rental company's woes. That's because their cars make up the majority of Dollar Thrifty's fleet.

A shake-up at the top of Dollar Thrifty earlier this month fueled speculation that the company could be sold. But mum was the word on Thursday.

A company spokesperson says they wouldn't comment until after the third quarter earnings are released, next Wednesday.

Related story:

10/15/2008  Dollar Thrifty Says No Comment