DISCUSSION: ❖ When companies outsource they nearly always save money, and are able if they want to reduce the prices of their products or keep them much lower than the competition. This hurts the small companies that can't outsource. ❖ Sometimes, it destroys the job of the local people here. Because it always costs less while outsourcing than hiring someone in US locally. Outsourcing has created extra 7% unemployment and the government has to pay unemployment benefits to them every month.
For example, now we deal with a crisis period and large companies like Sainsbury suffer a lot. The economic growth also has some employment effects. We can see a rise in the number of people employed by Sainsbury and this affects the United Kingdom economy. Now in 2011 we deal with a crisis period and appear some changes in population income. The number of companies that went in a bankrupt or are nearly to bankrupt has been increased and this results a large number of unemployed people, which means a decrease in sales.
WHY DID THE WALL STREET CRASH HAPPEN IN 1929? The Wall Street crash which happened on 29 October 1929 was one of the most depressing events in the history of America. This happened because people lost their wages b 60%, 14 million people were unemployed by 1933, banks went bust and also US trade slipped from $10 billion to $3 billion. The Wall Street crash happened due to some reasons: one reason was, the Americans were buying consumer goods on credit, especially cars and houses they did this because, they didn’t have enough money, and therefore if they get the money they will be able to pay. Another reason was that speculation was rife, because people believed the stock market was easy so 20 million Americans invested but only 1.5 million people had serious knowledge of the market.
Workers had poor working conditions and the employers were more concerned with the cost of the labor instead of the welfare of their employees. Families were split because of the working hours and conditions. A lot of people were forced to work in these conditions or else face starvation because there weren’t any other jobs available. In conclusion The Unites States during the industrialization era had to see a lot of difficulties and could have been easily split apart but the people of that time were strong and protested which eventually had the government create laws on workers’
Real estate plays such an enormous role in the survival of our economy which is why it is important it does well in order for our economy to prosper. The downfall of real estate caused several industries to take a turn for the worst, starting with the housing industry. The housing industry received the biggest hit due to the downfall of real estate industry. Many of the employees that are either working in the construction side or are, employed by the many different sectors of the housing industry. With the housing industry taking a turn for the worst it caused many layoffs and job losses
Everybody knows you're punished for doing something wrong or making a mistake. We're not talking spilled milk here, were talking about people's lives and millions of dollars that is being wasted. Many people and families lost their life savings, millions lost their jobs, and the whole economy crashed because of the actions of these narrow minded people, yet they have not been served justice and still have the large sums of money they got during the economic crash. It's not fair to these people because it's not 100% their faults that they lost their homes. The government tried to bail out the banks, after the bank made a lot of bad loans.
Any additional raise of minimum wage would totally jeopardize the everyday lives of all Americans. The fewer jobs available, because of the pay hike, will mainly be the cause of the lower class workers’ unemployment. Simply, the minimum wage debate is a touchy subject among many economists and political figures. There are an immense amount of arguments toward the good and bad aspects of minimum wage, but one incontrovertible fact is that a minimum wage elevation causes loss for businesses, as well as, working people. The larger businesses try to make things seem more at ease than they truly are.
A growing international competition has also impacted union importance amongst the industries. Product oriented markets were deeply impacted by the competition brought on by international counterparts. Inadequate wage adjustments and demands have accelerated the decline. Almost 66% Americans feel that unions do not benefit the economy, but in turn, hurt the economy, especially during an economic crisis. As of August 2008, labor union approval was at 38% and it fell to 25% in August 2009.
Cyclical unemployment occurs during a recession, as we have recently encountered. Firms aren’t achieving their potential output, which leads them to cut workers. And even after a recession it’s hard for these unemployed to find jobs again. When they report their incomes, it heavily tips the income equality scale as the unemployed have next to no income. The first step in dissolving income disparity is aiming to normalize unemployment rates, which for America would be around 5-5.
Case Analysis 3 The impact of the Great Recession on Workplace Stress Saint Leo University Dr. Webster Baker MBA 530 – Organizational Behavior Overview The greatest downturns of the economy collapsed many industries in the period of the great recession. People found themselves with lack of job security, expensive educational system, and undervalued house price (Nelson & Quick, 2013, p.270). This negative behavior of the economy leads businesses to be tough in such cases. Furthermore, companies reducing costs strategy affected on the employees mind negatively (Nelson & Quick, 2013, p.270). The emerging effect of the high recession caused people’s stress level much higher.