America Inc. slashes spending as tariff uncertainty swirls

The new directive inside C-suites: Trim anywhere you can.

- Chip Cutter

The unpredictability of President Trump's stop-start trade offensive is paralyzing companies on just about every front except THE WALL STREET JOURNAL.

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 CEOs 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 Chief Executive Officer Mark George told investors and analysts as he cited plans to wring savings out of fuel and labor costs, among other areas.

The Atlanta-based freight railroad said that while there is no clear information on how tariffs might affect its revenue, it has been under financial pressure to be more efficient after several disruptions in recent years. They include the East Palestine, Ohio, train derailment, a proxy battle with an activist investor, and an unplanned leadership change.