I’m back to Bangalore and back to blogging :-). Ah, I was off from blogging for more than two weeks now…well LOADS of work at office, new marketing initiatives and alliances to deal with, coupled with frequent travelling! To add to that maid on unplanned leave for more than ten days now :-(. Life was frenzied and yeah it was one of those periods when you feel – oh hell, work life is so damn demanding in a start-up! But why start-ups, I think these days work life is full of pressure and demands for most of us in this downturn period. Everybody is speaking of lay-offs, pink slips, leave without pay and salary cuts! Everyone is trying hard to put in his or her best to survive the giant known as layoff! In fact wherever you go the common topic of discussion remains the same. I met this interesting elderly gentleman on my flight back to Bangalore last night, he is having his own company in Seattle and he shared some interesting statistics regarding layoffs. Whatever I can remember, I am sharing those here:
- Massive layoffs in current times leading to increasing unemployment is one of the worst which job market could have ever faced.
- Jobless rate has reached approx 8% now which is the highest in last 25 years, it was 6.1% in 2003 and 7.8% in 1992.
- There are lots of companies which are resorting to mindless layoffs in a panic situation. Not every company needs to go for such huge scraping.
- Wages are once again going to be monopolized now by the employers as there are many job seekers for lesser number of vacancies.
- These dramatic layoffs will only lead to further worse economy. More credit in the market as people are unable to pay their EMIs, reduced expense which is leading to less sales for most of the consumer oriented companies.
It was a good insightful discussion but well it was scary, really scary. Nobody knows exactly when this situation will improve…everybody is just predicting and praying!