General Dynamics unit, others issue layoff notices, blame U.S. budget cuts

NEW YORK: General Dynamics NASSCO, a primary constructor of ships for the U.S. Navy, warned about 1,040 employees on Monday of indefinite layoffs that may come in late April due to uncertainty created by the automatic U.S. budget cuts that took effect last week.

The warnings come as military contractors weigh uncertainties over scheduled maintenance and repair work that may be put on hold as the federal government makes $85 billion in spending cuts.