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Nitro


Member

Posted Fri Jan 30th, 2009 11:54am Post subject: Recession and Downsizing
We have lost hundreds of thousands of jobs here in the states recently. My own state has somewhere around 60,000 unemployed folks with more to come. And that's just this one state. So, of course the news just keep pounding these events into everyones heads via TV.

But I think some companies aren't firing people so much because they're suffering, apart from those who've gone bankrupt, as they are in using this recession as an excuse to improve their bottom line. And the workers who remain have to assume greater responsibilities and work hours without getting a raise.

Companies who are getting billions of dollars in government welfare ( sorry, 'aid' ) are still cutting jobs and sending people into the streets. One company, I think it's GM, have said they have no intention of hiring those workers back once their funds improve but rather intend to hire new people at a miserly $14/hr. And you can bet they won't belong to any unions.

I have no hard evidence of any of this, just a gut suspicion, in terms of what might be going on in the minds of investors and high level execs. What perfect timing to force the leftover workforce to work harder and longer and also cut spending on salaries and benefits.

Really? Wow.

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michael


Member

Posted Fri Jan 30th, 2009 6:06pm Post subject: Recession and Downsizing
nah, it's not just in your head, it is true in a way. on npr this mornin they talked about how many are forecasting it to be a 5 year downturn and so companies that aren't on the brink are doing layoffs just to store up cash. like microsoft.

i don't know economics but it sounds same as the public overreacting by putting all their money in the mattress.

"HELLO I'M TACTILE !" is an anagram of my name

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PamJH


Member

Posted Fri Jan 30th, 2009 7:43pm Post subject: Recession and Downsizing
Oh yes, you're both right. We had a story in our paper that talked about companies laying off people even if they didn't need to do so. They're just doing it in case the worst happens. Shareholders love it because it does help the companies' bottom lines.

We here in Michigan currently have a 10.6% unemployment rate. Even if our people find jobs elsewhere in the nation, they can't sell their homes and uproot themselves. A double whammy, so to speak.

I don't understand Microsoft's deal, though. People have not slaked their thirst for gadgets of all kinds, including personal computers and software. I know people who are trying to figure out how to cut the grocery bill in order to buy another laptop. It sounds like Microsoft's just going with the crowd.

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gjhsu


Moderator

Posted Fri Jan 30th, 2009 10:54pm Post subject: Recession and Downsizing
I'm, unfortunately, slated to join the ranks next month unless I can find something internally soonish.

It's unfortunate because we were cut for no other stated reason than "you were the smallest, and newest group."

I'm sure some of what Nitro is proposing is going on, but to what extent can't be said for certain. Upper management of companies are generally very good about hiding ulterior motives. By no means am I saying "damn big companies and damn all they do," but sometimes it does make you wonder...

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Nitro


Member

Posted Sun Feb 22nd, 2009 6:34pm Post subject: Recession and Downsizing
I found this article while searching on something else. I do not believe the job losses we are seeing are nearly as necessary as we're being told. Some, yes. But not all.


http://www.huffingtonpost.com/lee-stranahan/our-ot.....62414.html

I don't know. Maybe this is all a prelude to something inevitable about History.
Insurgency, demonstrations, remonstrations, revolutions, justice, etc etc..

Really? Wow.

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Totz


Member

Posted Sun Feb 22nd, 2009 7:16pm Post subject: Recession and Downsizing
It's greed that's causing employers to cut jobs. Investors bail if profits drop. That's why banks are cutting back and it's why businesses need to also.

Greed is what caused this global recession in the first place.

And it's not just the banks and institutions who have been greedy, it's everyone. People always seem to need bigger homes and more expensive cars, and for what?

For the past x number of years it was all about getting the fees on the loan for banks, regardless of whether the person could pay the loan.

Risky and imprudent and unfair mortgage lending practices caused people to lose their homes even when they had jobs. And the result was it happened in such large numbers, and there was so much money involved, that that has spread to the entire economy.

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Nitro


Member

Posted Mon Feb 23rd, 2009 2:18am Post subject: Recession and Downsizing
Well, we also have these big bailout packages going on supposedly to "stimulate the economy" ( I won't touch that with a ten foot pole X-D )

It's not exact math I'm talking about, but a close estimation is that if our gov had given every head of household 300G's it would've come close to the same figure given to banks.

Personally, I think the banks that can't survive should be allowed to die or be acquired. Anyway...

300G's would've allowed a great majority of people to pay off their mortgages or invest that money in savings and/or spend it into the economy...like cars and clothes and such...

On one hand is the message "We have no money" but on the other hand we've magically got money to bail out different industries from banks to auto to steel etc...so...where is the freaking money coming from to do this?????

Given that people tend to lapse on paying certain bills when unemployed, they prioritize between food and heat and a department store bill, many will wind up with poor credit scores. This affects getting a job. Does anyone else understand the implications of that?

I think it should be, minus certain fields, illegal to discriminate against a potential candidate based on their credit score. But it's done more and more often now. And it's a damn shame it hasn't been stopped.

Really? Wow.

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PamJH


Member

Posted Mon Feb 23rd, 2009 3:57am Post subject: Recession and Downsizing
It's greed that's causing employers to cut jobs. Investors bail if profits drop. That's why banks are cutting back and it's why businesses need to also.

Greed is what caused this global recession in the first place.

And it's not just the banks and institutions who have been greedy, it's everyone. People always seem to need bigger homes and more expensive cars, and for what.

You've said it all right here.

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Maxx England


Member

Posted Mon Feb 23rd, 2009 11:50am Post subject: Recession and Downsizing
It occurs to me that there are companies (and i've worked for some) that run short staffed and then hit the buffers when they sack more people. But still carry loadsa upper management. A phrase that gets used here is "Too many chiefs, not enough Indians". Has anyone seen that happening?

The only way is forward. Now where's the bar?

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Nitro


Member

Posted Tue Feb 24th, 2009 2:53pm Post subject: Recession and Downsizing
There's always too many chiefs if more than one of them is a prick X-D

Really? Wow.

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Corona


Member

Posted Sat Feb 28th, 2009 1:25pm Post subject: Recession and Downsizing
You should come and work where I do.

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acidcat


Member

Posted Wed Mar 4th, 2009 8:03pm Post subject: Recession and Downsizing
I enjoyed my friend's quote

"Too many cooks, not enough indians"

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Jarus


Member

Posted Wed Mar 4th, 2009 8:45pm Post subject: Recession and Downsizing
Another few local companies going/gone down the swanny and once again it's skilled labourers losing there jobs. My Sister works in HR and from what she has said they're getting constant calls from skilled workers and having to turn them down. Often grown men crying to her on the phone, but the only people actually creating jobs currently (at least in my area) are the fast food companies.

From what I could gather a lot of these companies going down are fully booked with work, but they can't trust the suppliers (who want to be paid upfront) to actually supply them with the goods. Then they can't afford the insurance in case the suppliers don't deliver to cover the costs because the bank won't loan them any money. It's not just the banks who don't trust each other I guess...

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Nitro


Member

Posted Thu Mar 5th, 2009 3:01am Post subject: Recession and Downsizing
Re: skilled labor having problems...our prez is supposed to dump a bunch of imaginary money into our creaky infrastructure ( roads, bridges, etc ) pretty soon which will increase the demand for skilled labor here in the states, among other jobs....We'll see if it ever actually happens...

Seems like folks in the IT field have been hit pretty hard as well as bank tellers ( of course ) or financial pro's...There are some people around here with business degrees working at StarBucks...they just can't find jobs in their field...

Really? Wow.

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joan


Member

Posted Thu Mar 5th, 2009 3:30am Post subject: Recession and Downsizing
re GM - you only have to look at their evil history to know what they are. I would NEVER buy a GM car.

http://en.wikipedia.org/wiki/History_of_General_Motors

As for the recession in general - how about this prediction from 1867 by a man eternally demonised in the US:-

“Owners of capital will stimulate the working class to buy more and more of expensive goods, houses and technology, pushing them to take more and more expensive credits, until their debt becomes unbearable. The unpaid debt will lead to bankruptcy of banks, which will have to be nationalized, and the State will have to take the road which will eventually lead to communism.”

— Karl Marx, 1867, Das Kapital

Of course, we won't turn to communism, but I'm pretty sure most people will come to loathe the excesses of capitalism, and the banks will be a lot more regulated, if not nationalised.

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