Description of the Economic Concept (K/U): Recession is the contraction of the economy lasting longer than two business quarters (six months) Recovery is the first part of an expansionary period following a downturn in the economy
Article #1
RIM expected to announce major layoffs this week By Josh Rubin, The Star | May 26, 2012
BlackBerry-maker RIM woos back U.S. military but carriers might be harder sell, analyst says.
Fewer blackberry users equal to fewer employees to make, design and sell them
Company expected lay off a lot of its employee from 2000-6000
Over next six months 5000 employees will be cut
Company announced loss of$125 million
Worldwide smartphone market could drop 5 per cent this year
company needs to buy itself some breathing room before the launch of phones running its long-awaited BB10 operating system, expected to be released sometime in the fall
fewer users until BB10 will be launched in fall
Opinion:
In my own opinion, this article shows all the aspects about how to keep up a business on top of also laying workers off if once the business does not run through smoothly. I use to be a blackberry user and now since technology has evolved year by year; a lot of people are more attracted towards the IPhone, since there are better functions. Once a product in a market is becoming less popular, we don’t need to make these products no more, therefore leaving the company to lay off more workers. This will affect the unemployment rate causing it to go higher, leaving a lot of workers jobless. The Users of RIM products have experienced bad use within the technology and the company has failed to meet the expectations from their consumers.
Analysis: A poor product/service should suffer a drop in demand. RIM should create products that will satisfy their consumers more, because without the public’s help in order to buy these products, it will not be beneficial to them. There is no reason to keep an employee who will make bad performances. They need to hire people that have the initiative to keep the company going in a way where products will be more effective to sell out to consumers.
Article #2
Job recovery for young 'almost non-existent' CBC News | March 8, 2012
The economic recovery for Canadians aged from 15 to 24 has been 'almost non-existent,' a new study suggests.
Canada young seekers taken biggest unemployment since recession began, facing challenging job prospects for several more years
Economist Francis Fong suggest economic recovery has been almost non-existent for Canadians aged from 15-24
numbers of jobs over age 25 grown more than 400,000 above level before downturn
roughly 175,000 young Canadians left labour force since recession began
Young workers always been first to lose jobs during downturns, because have less tenure and fewer skills than their older counterparts
younger Canadian workers face significant challenges, including competition from older workers looking to re-enter the labour market and those more experienced who lost their jobs during the recession
Opinion: After reading this article, I feel young workers do not want to work because in this period of time, they depend on their parents for their needs. Also, many parents would want their child to finish their education before finding a job. The greedy and selfish boomers ruined things for generations to come. However, teenagers have the rights to continue and work because it is important for their future needs in order to pay off education fee, if parents have not yet saved for an RESP. Older workers are hired because, they understand more about punctuality, not fooling around at work. Therefore, they know the expectations in the work force.
Analysis: The more jobs that are lost could be blamed on capitalism in Canada, which makes many companies go to other countries in the past 10 years. With recession happening, this could also be caused by unskilled workers who are doing no good to the economy. Jobs should hire peopled based on their expectations and not making huge exceptions within their skills range.
Inquiry Questions:: 1. What are some facts that lead to and/or cause recession to occur? 2. How does recession affect the economy and employment? 3. How does recession affect business in general?
Description of the Economic Concept (K/U):
Recession is the contraction of the economy lasting longer than two business quarters (six months)
Recovery is the first part of an expansionary period following a downturn in the economy
Article #1
RIM expected to announce major layoffs this week
By Josh Rubin, The Star | May 26, 2012
Opinion:
In my own opinion, this article shows all the aspects about how to keep up a business on top of also laying workers off if once the business does not run through smoothly. I use to be a blackberry user and now since technology has evolved year by year; a lot of people are more attracted towards the IPhone, since there are better functions. Once a product in a market is becoming less popular, we don’t need to make these products no more, therefore leaving the company to lay off more workers. This will affect the unemployment rate causing it to go higher, leaving a lot of workers jobless. The Users of RIM products have experienced bad use within the technology and the company has failed to meet the expectations from their consumers.
Analysis:
A poor product/service should suffer a drop in demand. RIM should create products that will satisfy their consumers more, because without the public’s help in order to buy these products, it will not be beneficial to them. There is no reason to keep an employee who will make bad performances. They need to hire people that have the initiative to keep the company going in a way where products will be more effective to sell out to consumers.
Article #2
Job recovery for young 'almost non-existent'
CBC News | March 8, 2012
Opinion:
After reading this article, I feel young workers do not want to work because in this period of time, they depend on their parents for their needs. Also, many parents would want their child to finish their education before finding a job. The greedy and selfish boomers ruined things for generations to come. However, teenagers have the rights to continue and work because it is important for their future needs in order to pay off education fee, if parents have not yet saved for an RESP. Older workers are hired because, they understand more about punctuality, not fooling around at work. Therefore, they know the expectations in the work force.
Analysis:
The more jobs that are lost could be blamed on capitalism in Canada, which makes many companies go to other countries in the past 10 years. With recession happening, this could also be caused by unskilled workers who are doing no good to the economy. Jobs should hire peopled based on their expectations and not making huge exceptions within their skills range.
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Inquiry Questions::
1. What are some facts that lead to and/or cause recession to occur?
2. How does recession affect the economy and employment?
3. How does recession affect business in general?