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As the recession worsens and payrolls shrink, employees are craving the scoop from management more than ever.
When a company is forced to shrink, employees worry about their jobs and the shrinking value of their stock options, bankers worry about being repaid, investors worry about the value of their stock or having to invest more capital to keep the enterprise afloat.
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Shoplifting accounts for almost thirty-two per cent of shrink; employee, or internal, theft accounts for almost forty-seven per cent — although many experts say that these numbers are skewed, since organized retail-crime rings have begun to recruit store employees as accomplices, and even to send gang members to seek jobs at stores.
The jobs of 37 governors are up for grabs in November, so talk of remaking government — eliminating services, merging school districts, shrinking employee costs — has become a refrain.
By shrinking employee and partner compensation by $10 billion last year, Goldman got its return on equity up to 22.5%.
And a unionised workforce will have to shrink without employees being offered big financial inducements to leave.What happens if these bets fail?
DealBook » Less Trading at Morgan Revenue Slipss 24% | James P. Gorman said that the firm expected to shrink its employee base by 7 percent by the end of the year.
On Thursday, James P. Gorman, Morgan Stanley's chairman and chief executive, said that the firm expected to shrink its employee base by 7 percent by the end of the year.
When it comes to day-to-day changes, Microsoft will increase its payroll by 32,000 employees while Nokia will shrink to 24,000 employees.
Scott Hirons's small software firm will probably have to shrink to five employees from 15 by the end of October if nothing is done to head off automatic, across-the-board defense cuts, he said.
People said, 'give us a call when you're out of bankruptcy.' " The company cut its sales force in half and shrank from 2,100 employees in late 2000 to 1,500 employees today.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com