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Forum Post: Referendum for Mass Layoffs

Posted 1 year ago on Dec. 1, 2012, 11:57 p.m. EST by 10N (134)
This content is user submitted and not an official statement

A situation where Acme Inc decides to lay off 1000 employees. I propose that this is how is should be done. Acme is required to give 1 years notice. After which the 1000 Employees return home for 2 years with pay under certain conditions. At which point Acme Inc would pay part for you Education with Government Support.

Why?

The point is to give 1 years notice to prepare. This gives an opportunity to find other work or to think about another career.

The 2 year pay would be given to a) Going Back to School b) Did not find a job c) Anytime during the 2 years span a lesser paying job (The difference is given) *After 2 years the usual unemployment procedure...

How I Justify This Economically?

In this Example we assume: i) 1000 Employees ii) Each Employee cost $50,000/yearly iii) It is Law to give 1 years notice

Facts: Acme Inc. will save $50,000 x 1000 Employees = $50,000,000/ yearly

Year 0: Notice is given out to 1000 Employees.

Year 1: 1000 Employees Laid-off

Year 2 Average Cost of Back to School per Employee (not everyone goes back to school) $25,000 $25,000 x 1000 = $25,000,000

Year 3 Average Cost of Back to School per Employee (not everyone goes back to school) $25,000 $25,000 x 1000 = $25,000,000

  • Invest in Skills the economy needs
  • New Skills keeps people unemployed

Year 4 Acme Saves in Employees fees: $50,000,000 School Cost for Employees : $50,000,000

Year 5 and up: Acme saves $50,000,000

In Short Transition

Your Thoughts?

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1 Comments

1 Comments


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[-] -1 points by RedDragon (-161) 1 year ago

You're fired!