Stanley Black & Decker to cut 1,000 jobs

Yahoo Finance Live anchors discuss Stanley Black & Decker’s plans to cut 1,000 jobs amid higher costs and slowing demand.

Video Transcript

JULIE HYMAN: And in a very different business, we're watching Stanley Black & Decker. There was a report that we've now confirmed that the toolmaker is going to be eliminating about 1,000 finance-related jobs. And it's part of a previously announced effort, by the way, to cut about $200 million in expenses as it deals with higher costs and slowing demand. And I know you-- now, it's interesting the different stock reactions that we're getting for these to companies.

BRIAN SOZZI: First on Robinhood, I wasn't even sure-- they had five offices left at this point. I mean, they've just cut a lot of workers. Now, on Stanley Black & Decker, a source tells me they have laid off people, there have been layoffs in the finance department, maybe a little bit less than what "The Journal" cited in their story.

But this is part of a broader cost-cutting effort by Stanley Black & Decker looking to cut a billion dollars in cost by next year, about 2 billion over the next few years. Now, I used to cover Stanley Black & Decker as an analyst for close to 8 years. I learned that they are always continuously focused on cutting expenses from their business. This is just built into the DNA of this company.

Now, their new CEO is Don Allen, longtime finance CFO. So I can't say I'm surprised. He has that knowledge of the company just continuously cutting expenses and trying to improve margins. I'm not surprised one of his early moves here as CEO now is to just tighten up that business model.

BRAD SMITH: Yeah. This and especially some of the job cuts that we've been watching or even the hiring freezes over the past few weeks, some of them coming as no surprise.