From the course: Corporate Finance: Profitability in a Financial Downturn
Join today to access over 22,600 courses taught by industry experts or purchase this course individually.
Layoffs: The last move
From the course: Corporate Finance: Profitability in a Financial Downturn
Layoffs: The last move
- One of the most common topics people talk about when cutting costs in a downturn are layoffs. It's something that's very stressful for a lot of people because no one wants to lose their job in a downturn. The truth is, though, sometimes companies have to make those cuts because they have to be profitable. They have to maintain their cash flow. They have to continue to exist. In other cases though, companies might be forced to make cuts in order to make headlines so that investors in public equity markets continue to buy their stock. The truth is, is that no matter when layoffs happen, they're horrible, but they're doubly horrible in an economic downturn. And there's a few reasons for this. First, workers who are laid off in a downturn are going to have a tougher time getting a new job. Second, workers who remain behind might live in constant fear of the next round of layoffs. Third, workers who are left behind will also…
Practice while you learn with exercise files
Download the files the instructor uses to teach the course. Follow along and learn by watching, listening and practicing.
Download courses and learn on the go
Watch courses on your mobile device without an internet connection. Download courses using your iOS or Android LinkedIn Learning app.