On Thursday, livingsocial declared a layoff of 400 employees out of which 10% are from the corporate workplace.
Now in U.S the demanding and growing use of technology replaces its manpower to a minimal. Less manpower is used by the companies. Work is preferably done by machines in order to save time, energy and resources. That scenario ended up with job-cuts for the people of the corporation. Most of the layoffs were in the field like sales, customer service area and editorial.
Living Social relocate some of the employees to Tuscon in order to create some vacancies in that place.
Now it’s the crucial problem for the economy of the nation. If steps are not to be taken for eradication of the problem the whole corporate world will face a serious fiscal crisis.
The profit making companies are not able to understand the depth of the matter of layoff, which is a growing problem of the age. It harms the nation in two ways. Firstly due to the job cuts the national income will decline coupled with a forthcoming economic disaster and secondly the profit making companies will experience a great fall in their share price resulting a low credit rating for them.
Layoffs are carried out to control the increasing crowd of employees, said by some business houses.
Some advocate it as- The resource if remains unused by cutting off the job, can be used in some other promotional activities.
A company Groupon Inc (NASDAQ: GRPN) which involved in this dirty affair experienced an unexpected loss of 80% down fall in its share value.
Share Value Of The Following:
Groupon Inc (NASDAQ: GRPN) were up by 2.71% to close at $4.54.