Beyond Job Loss

[jeffrey]

The media has done a good job of recording the job losses, but with talking with people I have found that a lot of people are struggling not from a complete job loss, but by changes a company has made that means that they have less money even though they keep their job. For example, a 4 day work week or a health insurance premiums rising.

I was just wondering if others have been seeing or hearing about the same thing and what types of things companies are doing that still hurt your (or people you know) bottom line even though they still have a job?

[SnoopyCool]

BEFORE DH was laid-off (this time last year, in fact), his company asked each worker to accept half pay (and a weekly Wal-Mart gift card for $150) for a time instead of being laid-off. This in the hopes that they could save enough money to save their butts. Well, we see how that went... they still tanked!

We were able to make it because of savings and frugality. It really ended-up being a lesson for us because when the company reinstated full pay, we saved more money than we had before.

[AlligatorBaby]

At DH's 2nd job, everyone's hours were cut so that they wouldn't have to lay anyone off.

[maat55]

As in my business, some businesses, especially small businesses, are reliant on specific workers but are not able to keep them fully employed. Also, my business can be slow one week and swamped the next.

Last year, my workers earned about 10% less than the year before, which is more than they would recieve from unemployment.

[scfr]

Yes - Several people close to me have had their hours cut.

[B.J. Johns]

Originally Posted by scfr

Yes - Several people close to me have had their hours cut.

i've been hearing this a lot also.

[isthisused]

Im cut back to 32 hours per week. Two of my wifes clients were laid off(so she lost them). and one of her other clients was paying her$200 per month to clean their house laid her off. Good thing weve been socking it away.

[Goldy1]

Ok I know of a place that is an auto supplier. They are "rearranging " the way they pay employees(I should say the few left). Instead of being direct, they are going to make them all independent contractors. I do not know the advantages of this to the company. I suppose taxes or something.

[Exile]

If I were a worker having a hard time making ends meet on my current wages, would my employer increase my salary for that reason? Not likely. My personal finances are not his problem. Raises are--and should be--based on merit.

The flip side is a reduction in wages because my employer is having financial difficulties. Why is that my problem? But the playing field is not level in terms of power between employer and employee, In theory, I could quit and look for a better paying position somewhere else. But with the state of the economy and jobs disappearing right and left, that probably wouldn't a have favorable outcome.

My only recourse would be to accept the wage cut in order to stay employed. Meanwhile, I would still look for a new job and in the meantime also moonlight if necessary to make up the shortfall between my previous and current salary.