Fort Lauderdale Builder cutting 200 jobs

Fort Lauderdale based home builder, Levitt Corp announced plans to lay off up to 200 of its 573 employees.  The job cuts begin this week and will mostly come from its subsidiary, Levitt and Sons, which employs 412 people. Levitt will provide severance and outplacement services to laid off employees.

Builders like Levitt grew rapidly during the five year housing boom until 2006.   But with a housing market that’s in a slump and next expected to improve until 2009, builder confidence is at an all time low.

In addition to laying off employees, Levitt and Sons will suspend lot development.  It has reported more than $90 million in losses from decreased values of land and inventory in the past 18 months.

Additionally, Chairman Alan Levan and Vice Chairman Jack Abdo will both reduce their salaries to $1 and go without bonuses and stock options for the foreseeable future.    That’s giving up a lot considering Levanearned $753,430 and Abdo earned $1.2 million last year in total compensation.

Get out there and starting buying homes people!