Recession Layoff: Warning Signs

The ongoing recession has left almost everybody in jeopardy of losing their jobs. Following are some of the warning signs that should be kept in mind to recognize the possibility of a corporate bankruptcy or unemployment.

1.If the company starts hiring a consultant then one must be prepared that job cuts and lay offs are on the cards.

2.A bad assessment or review is also a warning bell. If your colleague is bestowed with a positive review then you might be on the hit list. You should definitely start worrying once your managers complains about the recession and layoffs.

3.If the company is experiencing low profits and the sales are also down, then it is the time to worry. Profits and pay cheque are directly proportional, hence a decrease in the profit will directly influence decrease in the pay. Thus, when a company is rendering losses, then it will surely start cutting the number of employees.

4.If your company is slashing the present salary of the employees then become sure that your organization is in deep trouble. The situation can also appear dim in case there is a pay freeze. This too means that the company is facing a precarious condition.

5.When people are being laid off and hiring has come down to minimal, then it is advisable for you to start looking for an alternative. You never know when you many be thunderstruck with the lighting of unemployment.

6.If your company on the verger of a merger then it implies that something big is happening for good or worse. Since merger puts any company in a very negotiable position, there is a chance that the employees will be sacked. This happens a lot in IT Jobs.

7.When too many rumors are being circulated in the market and the company officials are sitting with their lips sealed then there is a reason to worry.

These are some of the most common warning signs that implicate that your job is in danger. However, there are certain industries like auto industry and various manufacturing industries wherein the job stability is very less. Sometimes, even when your company is making profits but the industry is wavering, then your job might be far from being safe. Keep these warning signals is mind, especially during recession to keep yourself prepared for any catastrophe.

Questions You should ask an interviewer

Trust me: it’s different now. In this economy, where unemployment is high and you have many more job seekers than jobs, you can’t afford to improvise on the interview. So yes, if you got called in to talk about a position, be psyched. But then knuckle down and do some prep work.

Find out as much as you can about the position you’re interviewing for, how the process will go, and who will be interviewing you. Research the people you’ll be talking to (use Google, LinkedIn, Facebook and real-life contacts) so you have common ground to discuss, and check out the company and the competition.

Wait, you’re not done yet. You still have to ace the interview. These five questions will pull you ahead of the pack:

1. “In the first 30, 60, and 90 days what projects would you like to have completed and taken off your list?” When candidates go on interviews very rarely do they know for sure what the hiring manager is specifically looking for. This one question will give you valuable insight as to what is most important to them. If you can ask this one question very early on in the interview you have the blueprint as to specifically what is most important to them.
2. “What one skill if mastered would add the most value to your department?” All companies now want to hire the best or someone that has the drive to be the best. By asking the question above, you show that you are driven to be the best. You will distinguish yourself as someone that is willing to go the extra mile, work hard and become a valuable asset to the company.
3. “What challenges and opportunities is the company and the department facing?” Show your possible employer that you are interested in the company and that you are up for the challenge. This also gives you the chance to differentiate yourself from the competition. You can provide valuable insight on how you would handle the situation.laid off 101 on notebook paper
4. “What are your company goals for the year and what are the department goals?” Everybody likes someone that is goal focused, so if you ask this question, you will standout.
5. “What more can I tell you about myself to let you know that I am the right person for this job?” This one question can make or break your chances with the company. Why? Because you show sincere interest in the company and that you want the job. This also shows that you care and want to make sure all questions were answered thoroughly.

US Unemployment Rate in July Increases

Job cuts announced by US employers jumped 31 per cent in July to over 97,000, increasing for the first time in six months, warning of a further hike in downsizing activity by the last quarter of the year, a report said on Wednesday.

After falling to a 15-month low in June planned job cuts announced by US employers jumped to 97,373 in July. It was the first increase in monthly job cuts since January, global outplacement consultancy Challenger, Gray & Christmas Inc said here in its latest report.

"After June's surprisingly low job-cut total, a July rebound was not entirely unexpected. While there are signs that the economy is stabilising and the pace of layoffs slowing, we are still a long way from a full recovery. In fact, monthly job cuts are likely to return to levels in excess of 100,000 by the fourth quarter," Challenger, Gray & Christmas CEO John Challenger said.

Job cuts had fallen 33 per cent in June to 74,393, the lowest monthly total since March 2008. The July total was 6 per cent lower than the same month a year ago, when employers announced 1,03,312 cuts. So far this year, employers have announced 9,94,048 job cuts, 72 per cent more than 5,79,260 layoffs through the first seven months of 2008.

The July surge in job cuts was led by firms in the transportation industry, which announced plans to reduce payrolls by 27,954 positions, a five-fold increase from the June layoff total of 5,587.

The telecommunications sector also experienced an increase in layoffs last month with job cuts surging to 17,601 in July from 802 in June.

Meanwhile, the automotive sector, which leads all other industries in year-to-date job cuts with 1,22,212 layoffs has seen layoff announcements decline in each of the last three months. These companies announced 2,716 job cuts in July.

"Declining layoffs in the automotive industry may not be indicative of a turnaround. Instead, these employers simply may not have any room for additional job cuts if they hope to build new fleets of more eco-friendly cars," Challenger added.

With consumer and business spending at a standstill transportation companies have little choice but to make further cutbacks in staffing, it said, adding, that a surge in hiring could take place around the holidays.

Other sectors which saw downsizing during July are government/non-profit (7,131), industrial goods (6,548) and financial (5,030). While economic conditions and cost-cutting claimed over 58,000 jobs, voluntary severance led to 15,070 job cuts in July.

Employers also announced plans to hire a total of 17,183 employees with retail (14,200) and aerospace/defence (1,160) leading the pack.

Indian IT the Trends on Emplyment

The Quarterly Results of Top Indian Companies are out, some of them have done well in terms of profit growth however what needs to be seen is that the employment numbers (Net Additions) for almost everyone is negligible or Negative.

The Big Indian IT Companies were growing at 30% plus in revenue terms and hiring 10,000-20,000 Freshers each, the attrition rate was also high as emplyees left for better opportunities elsewhere.

Now the situation has completely reversed, the number of emplyees has actually come down for most of the biggies rather than going up, this despite of the fact that fresher and lateral hiring in niche areas is still continuing, this infact lays bare the claim of these companies that they are not laying off.

For the IT worker this is a time for self realization, it is true that 20-30% of the workforce would be performing below performance standards and the weeds need to be rooted out, however the employees need to introspect and see themselves in the mirror, that instead of wasting the bench time on gossips and playing games if they had done technology upgradation of their skills they would still be having a job. The Emplyees are as much to blame for a layoff as no sensible company would throw out good people, and even if they are thrown out there are enough opportunities in the market to go to.