Posted on 04/13/2010 6:18:10 PM PDT by 2ndDivisionVet
A survey from accounting firm Grant Thornton confirmed the majority of business owners and executives consider the country still in a recession, and have no plans to hire within the next six months, with 22 percent saying they're going to cut back on hiring.
Together, only 29 percent had any plans to hire over the next six months, showing the reality of what business executives know, that there is no recovery yet, and until there is, they're not going to incur the extra cost of hiring new employees.
Now that the replenishment of inventories is over, and little real economic growth happening, companies are in a wait-and-see mode until a turnaround comes.
Some watching the retail rebound in the U.S. have attempted to make it look like it's a sustainable event, but more than likely all that is is the spending of tax return money be consumers, and when the next quarter comes we should see that reality reflected in the quarterly reports.
The best metric for the economy, because of the untrustworthiness of what is coming out of official government channels, is unemployment and unemployment benefits.
Unemployment went up again last week, and there is no improvement in those already unemployed. So if there is an economic rebound, like so many are asserting, there would be hiring because of the obvious demand.
Since there is no real demand, there is no hiring, it's as simple as that, and this survey confirms it.
I would add that this is just for the next six months, as there's no way the companies know what will happen beyond that. The mood seems to be there will be no hiring until real demand is restored, and until that time job creation won't keep up with those who need a job.
For the recession, those surveyed said they expect it to go at least to 2011, and 24 percent said they think it'll extend out farther than even that.
With these executives being the ground troops, this is more reliable than any data that can be manipulated and interpreted to say what the government wants it to say.
According to the vast majority of the executives, the best way to create jobs is to cut corporate and personal income tax rates, which 66 percent saying that would be the best way to go forward.
no customers, who knew
Congressional subpoenas on the way in 3...2...1...
Think of it as job security for those still left and doing the work of at least 3 people who were let go.
0bummernomics.
just spoke to a friend. Her company has a fair amount of turnover. If they hire the unemployed, they get a tax break and do not have to pay the employer-portion of the unemployemtn tax. Under the Regimes new plan.
The paperwork is complex and with numerous hoops. The company is evaluating whther it is worth taking up the offer. They are leaning towards, not worth it.
We’re hiring....mostly some we laid off in May of ‘09 in a stupid move....
But, we are hiring.
The Cash for Houses tax giveaway ends this month. That should mean an end to house sales for awhile.
I know of nobody that is planning on doing any hiring.
Many companies cut to the bone to survive and they find that profit can go up without hiring. The principle of diminishing returns is working right now, and the recession will not be over until they are in need of hiring new people.
Businesses are going Galt. I think that is wise.
hehe... wait until the health insurance companies start going belly up
Well, the economists have declared the recession over but apparently businesses and consumers didn’t get the message.
It’s almost as if they were stopping the motor of the world...
Last October, the parent company of my wholly owned subsidiary let us know they were shutting us down in 2010. Over 800 people will have lost their jobs when we close our doors for the last time.
I am quite fortunate to have found another job. My last day at the old job is this Friday and my new job starts on Monday. Pay is very close to what I was making previously. I know in no uncertain terms that I am an exception rather than the rule. Companies that you depend on for job openings, just aren’t hiring or only have a few openings with hundreds of applicants for each position.
I plan to do my part by spending my tax return ASAP.
economy bump for later...........
Today’s tax return .. Tomorrows tax liability
Today’s tax return .. Tomorrows tax liability
“The paperwork is complex and with numerous hoops. The company is evaluating whther it is worth taking up the offer. They are leaning towards, not worth it.”
Just remember the cash for clunkers debacle. Just before they shut down hundreds of dealership. Making deals with the devil never work out as advertised.
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