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The new directive inside C-suites: Trim anywhere you can.
The unpredictability of President Trump’s stop-start trade offensive is paralyzing companies on just about every front except one—taking an ax to costs. The chemical company Dow is delaying construction of a new plant. Boston Scientific, the medical-device maker, is speeding up efforts to cut discretionary spending including travel.
The railroad operator Norfolk Southern, meanwhile, is more closely scrutinizing consultant fees.
Andre Schulten, chief financial officer of Procter & Gamble, said: “We will have to pull every lever we have in our arsenal to mitigate the impact of tariffs within our cost structure.”
Few companies have announced large-scale layoffs, though they are making some adjustments that workers are starting to notice. Companies are slowing hiring, leaving roles unfilled and scrutinizing spending on consultants and contractors.
As they outlined cost-cutting measures on earnings conference calls in recent days, many chief executives used language that boils down to a corporate version of the Serenity Prayer.
“Control the controllables and try to help mitigate some of the things we can’t control,” Norfolk Southern CEO Mark George told investors and analysts as he cited plans to wring savings out of fuel and labor costs, among other areas.
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