2008 Recession Layoff Notices Are Increasing Dramatically

First, it was the housing industry. Then, the financial services industry. And now, you see the announcements of significant layoffs in industry after industry.

From shop floor workers to the executive suite, companies across the country are taking a sharp and quick knife to their work force. From industry laggards to some of the industry leaders, layoff announcements in increments of many thousands per company have become commonplace. Announced cuts of up to 10% of the workforce have become commonplace. And, companies are doing layoffs even as we start the holiday season, which has traditionally been a time when compassion often overruled business logic.

No longer are economists claiming that a strength in the economic data is the unemployment rate. Many economists expect that we will shortly surpass the 6.3% unemployment rate that was the high in the last downturn. 7-8% unemployment seems highly likely by year end. And the specter of double digit unemployment looms as a very real possibility in the first quarter of next year.

The pain and suffering to families that occurs with these kind of unemployment levels should not be underestimated. Expect the strains to be more than just financial. The mental and emotional consequences of these times will be very real, further straining the resources of our charitable organizations.

Workers losing their jobs need to be at their very best if they are to have any chance of quickly re-joining the ranks of the employed. Tomorrow, I will share five ideas for increasing one’s odds of quickly getting a new job.

Starting Sunday: A six part series on why I expect the recession to be deeper and longer than many currently expect...and why I believe that there will be opportunities to prosper nevertheless.