Corporate Greed (Layoffs)

[electric10162]

It's going to be a bumpy 18 months or so.

Back in 2008 when everything crashed, I was lucky to have business lined up though 2010. Then the bottom fell out. I had ten employees with our work being cut by two thirds. I kept them all busy and paid, including healthcare. I took only enough to pay my mortgage. It drained every penny I had in the business and personally. It took six years to get back to where we were. The last six years have been so busy in the trades that I've been able to save BUT if the economy turns like 2008, I would have no choice but to cut benefits, vehicles, and personnel. I have over 40 employees now. Two years ago it looked like I could retire before 60 but I'm not so optimistic anymore.

[vdep217]

Not saying it dosnt happen but right now layoffs probably aren't out of greed but survival and keeping profit where it is at.

Think about it.  Say you make 1000 dollars you have four employees pre inflation. Assuming you pay 100 to each employee.

Payroll 400

Expenses 300.

You profit 300 at end if the day.  Now Expenses have doubled

You are breaking even

You lay off 2 employees just to make a 200 dollar profit it sucks but right now it's survival

[MGHunter66]

It is a sad day when we are all waiting for “what’s coming” because of incompetence. I do not believe it’s greed, it’s businesses that need to hold on over closing down. Shutting down doesn’t help the owner or the unemployed from same. Nobody WANTS to lay anyone off, laying people off means you are in or foresee financial troubles

[Tarhunt]

I've already downgraded my beer to Schlitz to save money to ride out the recession. 

[3Blade]

40 minutes ago, Tarhunt said:

I've already downgraded my beer to Schlitz to save money to ride out the recession. 

If you go a step further and give up your Reese's PeanutButter cups, you could be sitting pretty with Jack Harris type money

[MGHunter66]

9 minutes ago, 3Blade said:

If you go a step further and give up your Reese's PeanutButter cups, you could be sitting pretty with Jack Harris type money

Well since you mentioned Harris, I am laying in his driveway waiting for the cops & paramedics. Lawyer said he’ll meet me at the hospital. My plan will beat the recession 

[Tarhunt]

1 hour ago, MGHunter66 said:

Well since you mentioned Harris, I am laying in his driveway waiting for the cops & paramedics. Lawyer said he’ll meet me at the hospital. My plan will beat the recession 

I heard that Jack has more money than 10 pointers. 

[Bucksnbows]

2 hours ago, Tarhunt said:

I've already downgraded my beer to Schlitz to save money to ride out the recession. 

Gluten free Schlitz? 

[Bucksnbows]

2 hours ago, MGHunter66 said:

Well since you mentioned Harris, I am laying in his driveway waiting for the cops & paramedics. Lawyer said he’ll meet me at the hospital. My plan will beat the recession 

Move over!  I was here too, don’t you remember??  Harris can afford both lawsuits! 

[JD48]

5 hours ago, vdep217 said:

Not saying it dosnt happen but right now layoffs probably aren't out of greed but survival and keeping profit where it is at.

Think about it.  Say you make 1000 dollars you have four employees pre inflation. Assuming you pay 100 to each employee.

Payroll 400

Expenses 300.

You profit 300 at end if the day.  Now Expenses have doubled

You are breaking even

You lay off 2 employees just to make a 200 dollar profit it sucks but right now it's survival

Great point

[chenrossi]

6 hours ago, vdep217 said:

Not saying it dosnt happen but right now layoffs probably aren't out of greed but survival and keeping profit where it is at.

Think about it.  Say you make 1000 dollars you have four employees pre inflation. Assuming you pay 100 to each employee.

Payroll 400

Expenses 300.

You profit 300 at end if the day.  Now Expenses have doubled

You are breaking even

You lay off 2 employees just to make a 200 dollar profit it sucks but right now it's survival

And what's worse this retarded administration is treating the little family run business as you describe as though they're a corporate conglomerate than can withstand that type of bs. They are not one in the same. 

[archer36]

9 hours ago, chenrossi said:

And what's worse this retarded administration is treating the little family run business as you describe as though they're a corporate conglomerate than can withstand that type of bs. They are not one in the same. 

Agree. We are lumping all businesses, big and small, together. With large corporations, it's "business".  Small businesses, it's survival. 

Edited June 24, 2022 by archer36

[electric10162]

1 hour ago, archer36 said:

Agree. We are lumping all businesses, big and small, together. With large corporations, it's "business".  Small businesses, it's survival. 

Large corporations have to do the same. Everything goes up when diesel is high and inflation is the worst in 40+ years. Liability, workman's comp, and health insurance rates are increasing more than I've seen in my 22 years in business. One of my long time customers, in pharma, closed it's doors this past month. It's not good out there.

A long time food service customer I have in North Jersey leases his trucks, trailers, and fork lifts. He can return these vehicles based on his demand. Although he has a lot of full time employees, many are "temp agency" workers who fill in the labor voids. 

 

[archer36]

25 minutes ago, electric10162 said:

Large corporations have to do the same. Everything goes up when diesel is high and inflation is the worst in 40+ years. Liability, workman's comp, and health insurance rates are increasing more than I've seen in my 22 years in business. One of my long time customers, in pharma, closed it's doors this past month. It's not good out there.

A long time food service customer I have in North Jersey leases his trucks, trailers, and fork lifts. He can return these vehicles based on his demand. Although he has a lot of full time employees, many are "temp agency" workers who fill in the labor voids. 

 

Certainly.  It's easy to generalize. But large corporations (publicly traded) need to keep their profits up in excess of "survival". They may make billions and still lay off. So, it's not survival, but maintaining their level of profitability to enhance stock price. 

They will layoff far ahead of coming close to breaking even. 

Edited June 24, 2022 by archer36

[DonW]

1 hour ago, archer36 said:

Agree. We are lumping all businesses, big and small, together. With large corporations, it's "business".  Small businesses, it's survival. 

The small manufacturing business I run is struggling big time! Between only having 2 full time workers, can't find steel, nuts and bolts are going extinct. And now fuel surcharges on everything. I hope we can survive this perfect storm!