In an indication of how difficult the domestic and international economy continues to be, just weeks after being named again as one of Forbes Magazine's 400 Best Big Companies, The Lincoln Electric Co. (www.lincolnelectric.com) announced that it plans to eliminate more than 10 percent of its global work force and cut executive compensation. These moves are characterized by Lincoln as part of its efforts to cut overall costs.

Lincoln Electric, the leading welding products manufacturer, said its plans to deal with current economic conditions also include cutting hours at its headquarters plant in Cleveland, offering voluntary buyouts to nearly 2,900 employees in Cleveland, and freezing merit raises and external hiring. The company further said it would reduce overall executive compensation from 20 percent to 45 percent in 2009.

In addition, Lincoln Electric said it would suspend its matching contributions to employee 401(k) plans and that it would cut its annual capital expenditures by $20 million.

The company did not say how many jobs would be cut, but it has more than 9,000 employees globally.

The company said its actions would result in annual savings of about $50 million.

Lincoln Electric ended 2008 with a cash balance of more than $275 million, and no debt, but it reported that its fourth quarter income fell 60 percent and sales were down nearly 10 percent.