Current Status about Business and Jobs

Business and Jobs

If a disaster event does occur, a business’s operations will likely be interrupted. During the time, your business will suffer from lost income due to your staff’s inability to work in the office, manufacture products or make sales.  especially applicable to companies that require a physical location to do business.

When consumers have less money to spend, businesses suffer. This creates a domino effect that touches almost every business. Recessions come and go, but particularly bad ones will be devastating and collapse many businesses in their wake. Those that survive generally find ways to operate on a leaner budget and offer value to their clients in spite of a rough economy.

It impacts our local economy. The community as a whole becomes undesirable to prospective commercial residential developers that build supermarkets, retail stores. This also reduces the opportunity for local jobs and economic progress for residents.

businesses suffer serious setbacks from tightened credit markets and a prolonged struggle to access working capital. That mean reduced staff, smaller inventories, and sales for years. These things have serious ripple effects when your business revenue and personal incomes are one and the same.

 

Companies Go for Layoffs- Unemployment Rate Will Rise

Throughout the country we hear of factories closing, massive layoffs as companies retrench, stores going out of business and people everywhere facing unemployment. 

In January, 598,000 new people were added to the ranks of the unemployed for a total unemployment rate of 7.6 per cent. The total number of unemployed people reached 11.6 million in January approx. 

Since March, the unemployment rate has climbed by one full percentage point, a pace of layoffs not seen since at least the 1980s. Given the number of recently announced layoffs and the rising number of new claims for unemployment, the June job losses  even worse, 

The unemployment rate has nearly doubled since the recession began. The main factor increasing unemployment has been businesses cutting back on investment and entrepreneurs starting fewer companies. Consequently, they have created fewer jobs.

 

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