How and Why do Companies Conduct Lay Offs?

As the economy stagnates, companies are meeting their budgets. It is not to say that they are not earning revenues. The difference exists with the fact that companies have set higher goals with higher budgets. However, as the cost of resources (i.e. overhead costs) increase, and less money is being earned, companies are barely breaking even. Another issue is that since budgets are set slightly higher than the previous year, and cannot make that money, then costs outweigh the profits.


For example, let's say your manager set the following goal for 2012:
2011 Expected EBIT: 200,000
2011 Actual Revenues earned: 250,000
2012 Expected EBIT: 400,000
2012(YTD): 175,000

The example listed above further illustrates a simple case of what was earned before taxes in 2011 was 200,000. The actual revenues earned was 250,000. The company in 2011 earned $50,000 more than expected. Therefore, since the company  had a decent year, in 2011 when creating its budget it doubled its goal to $400,000 EBIT in 2012. The goal doubled and in hopes of achieving goals, companies will cut overtime, benefits such as picnics, bonuses, etc. The closer the year comes to an end in 2012 the company realizes that its costs are higher than expected. Overhead costs alone (not including marketing, etc) have tallied up to $300,000. Now the company realizes that it has spent more than it has even earned thus far. The economy is also stagnating. So what is next? It doesn't look good. Companies are going to begin laying off its employees. Why? Because it needs to cut costs, and the highest costs are the salaries and benefits.

How do companies decide to lay off its employees. Well some companies begin at the top of the ladder by evaluating the performance of the executives, mid line managers, and first line managers. If these managers are working inefficiently and have high salaries, then most likely some of the members will be cut. Companies will also begin to cut at the bottom of the totem poll. Employees who do the minimal and work strictly from 9-5, do not go the extra mile, and are not team players will also be cut. Why? Well because these employees are draining. They have bad attitudes, do not want to work and just do enough to get by. So these type of people are cut. Also, I have seen older aged employees laid off because they cannot work as fast as the young employees. So is this age discrimination? Of course it is but companies are allowed to do this legally.

Signs that lay offs are coming vary from company to company. But as companies begin to initiate cross training, this is the first sign that lay offs or "changes" are coming. For more information on cross training, please see the blogs listed earlier (Part 1 and 2).

So what can you do to ensure that your job is secure? Well learn everything you can. Do the work that no one wants to do. Volunteer to help out managers and other team members (going the extra mile). Be fast and thorough in your work. Provide the best customer care possible (going the extra mile) and every time you receive a compliment from a customer, print it out and keep it with you (can be useful in your evaluation). Remember companies want to maximize their employees. Do not waste time chit chatting. Be a good employee and stand out. Do not get involved in gossip. Managers do not like this. Do not gossip with managers.Remember, always stay positive. No matter how bad the situation, always say that there is a light at the end of the tunnel. This illustrates a positive attitude.

Fun and Dance

Obama singing, and now Hillary Clinton dancing? Well Hillary is one of the most famous people that we can encounter. Her service to this country and to the world has been commendable. Well I have to say, her positive and fun energy is contagious.

Check out this CNN video on Hillary dancing: See Hillary Clinton get her groove on http://cnn.com/video/data/2.0/video/world/2012/08/08/von-h-clinton-s-africa-dance.cnn.html #cnn

It was fun to see and truly a positive sign of enjoying the elements of what comes with the job.  Wouldn't it be great to see a little more fun in the political world? A little fun in the day can help release some tension and motivate them to come to an agreement quickly on whatever issues they may disagree on 365 days of the year. Imagine Mitt Romney dancing? That would be great to see just because all of these politicians always look so uptight. Perhaps it is due to their stressful jobs. However a little fun cannot hurt and if they dance a little they will seem more "normal" to us and not just political figures.

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Madonna and Security?

Danger threats at the Madonna concert? What is this world coming to? The continuous threats that are arising in public places are all forms of an instigated form of psychopaths who are literally following each other based upon their acts. In other words, this is a domino effect where if one psychopath creates havoc within the public environments, it will trigger the others to come out and do the same. Unfortunately, this is quite common. If you look at the history of serial killers, each decade we have one that comes out. Why? Because these psychopaths do feel almost encouraged to do what they do. It is sick, and horrible, however, for them its fuel for their fire.

The Batman incident, Sikh temple shooting, and now threats at a music concert are probably just one of many incidents. Unfortunately, the resources our government has invested are being used very quickly due to the fact that we have people who just "lose it" in society. Also, please keep in mind that people may begin to act a little crazy when the world is said to come to an end in Dec. 2012. Now, literally speaking, the world will not come to an end because scientifically, we are undergoing a change in our environment. However, religions and cultures have stated otherwise (i.e. Mayan calender ends in 2012). Such a factor is an instigator for people to act crazy. This is not normal behavior. However, it may happen.

So what can you do to be safe? We cannot stop our lives in fear of episodes of what has happened, or what may occur. But you have to be smart and have a strategy in the event something does happen. For example, if someone breaks into your house while you being in it, do you have a back up plan of where you will hide? Or how will you escape? Similarly, a quick assessment of the place you may be in can help create a fast plan in the event something does happen. For some of you, you may already subconsciously always assess a place and develop a quick plan of action for ER situations. Others, well not so much because we feel that it wouldn't happen to me. I can say that I fall into the latter category. However, after the 9/11 incidents, I have been forced to just do a quick assessment of every public place I enter. Why, because safety is a main concern for me!

Regardless of where in the world you are it becomes essential now to create assessments for your own safety.

Now referencing back to the Madonna concert, check out the article provided by CNN. As you read the article, think about this: If you were at the concert and something did happen, what would your plan of action be with the use of nonviolence?  Post your thoughts!

Violence threatened at Madonna concerts in Russia, embassy warns

By the CNN Wire Staff

updated 9:17 PM EDT, Tue August 7, 2012

Madonna performs Tuesday in Moscow. The pop icon called for the release of a band jailed for criticizing Vladimir Putin.

STORY HIGHLIGHTS

• A threat about a St. Petersburg concert prompts the embassy's warning
• A spokeswoman for the singer says concerts are going on as scheduled
• Madonna performs before crowds in Moscow, supporting jailed punk band

(CNN) -- Russian authorities were stepping up security after a threat of violence at Madonna concerts this week, the U.S. Embassy in Moscow warned.

"The U.S. Consulate General in St. Petersburg has received information regarding a threat of physical violence against spectators and performers at the St. Petersburg concert on August 9," the embassy said in a statement.

State Department officials did not provide details about the reported threat targeting Madonna's Thursday show in St. Petersburg.

"U.S. citizens are reminded to remain vigilant regarding their personal security, and to be aware of their surroundings at all times, especially in crowded areas," the embassy said.

Liz Rosenberg, a spokeswoman touring with Madonna, said the singer was aware of the threat and the embassy's warning.

"Concerts are going on as scheduled," Rosenberg said.

Madonna performed Tuesday night at a packed Moscow stadium.

During the show, the singer joined a chorus of musicians who say they support the punk rock band Pussy Riot, whose members were charged with hooliganism after performing a song critical of Russian President Vladimir Putin in one of Moscow's grandest cathedrals.

Madonna said she was praying for the three band members, who went on trial Monday and face up to seven years in prison if convicted, the state-run RIA Novosti news agency reported

"Everyone has the right to free speech, everywhere in the world. Maria, Katya, Nadia, I pray for you," Madonna said at Tuesday's concert, according to RIA Novosti. "They did something brave with their action. And I am praying for their freedom."

"Are you with me?" Madonna shouted. According to the state news agency, thousands of fans cheered, "Yes!"

Music stars including Pete Townshend of The Who, Alex Kapranos of Franz Ferdinand and Corinne Bailey Rae have also called on Russia to free the band members.

Pussy Riot specializes in sudden, often illegal public performances, including one in Moscow's Red Square.

In February, they screamed "Mother Mary please drive Putin away" during a concert inside Christ Savior Cathedral, outraging many of the country's faithful.

The punk prayer was inspired by the women's anger about the relationship between the Russian government and the Orthodox Church, according to the band's manager, who is married to one of the suspects.

The Orthodox leader Patriarch Kyril has been widely reported as saying P

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Free Speech- Free to Hate?

The beauty of the American Constitution is the freedom of speech. With that comes the moral and ethical considerations of what to say, how to say it, and when to say it. Basic etiquette manners tells us that verbally hurting someone out of malice is in appropriate, especially when the opposite person has not said anything back. So why all this hate? Perhaps it is illiteracy and ignorance; the two main components that exist in our country. Perhaps the lack of knowledge on cultures and communities resulted within the hate of what occurred in Wisconsin at the Sikh Temple.

How unfortunate for Michael Page, who truthfully portrayed his illiteracy and ignorance when he opened fire at a Sikh temple. Doesn't he know the difference between the two religions? Obviously not! However, regardless of the fact it was not a Mosque is besides the point. Page should not have opened fire in any religious institution as it is immoral, unethical, and inhumane. According to the U.S. law he is allowed to verbally portray his feelings through the music he enjoyed (although I don't even think he should do that), but the fact of the matter exists in the actions that took place.

Grief: Harpreet Singh and Amaradeep Kaleka mourn during a press conference on August 6, 2012, in Oak Creek, Wisconsin about the shootings Sunday at the Sikh Temple of Wisconsin

Remembrance: Seven people were dead and dozens injured after the shooting at a Sikh temple in Oak Creek, Wisconsin

Love and support: People light candles during a vigil to honor victims of Oak Creek in downtown Milwaukee(Pictures courtesy from Reuters)

The pure hatred against groups Page illustrated is a true case of a psycho path. A true definition of a psycho path: a personality disorder that is characterized by lack of fear and empathy, stress tolerance, shallow emotions, etc. However, there is much more Michael Page than just a psychopath. He was fully aware of his feelings of hate and actions committed.

Gunman: Former solider Wade Michael Page is said to be a frustrated neo-Nazi who had been the leader of a racist white-power band called End Apathy (Pictures courtesy of Twitter).

Several people are injured, some killed and some barely hanging onto their lives. How can America continue to deal with such crazy episodes? A few weeks ago we found out that going to a movie is potentially dangerous. Now going to a religious venue is just as dangerous. How much more can Americans take? Are we not allowed to go to movies, religious institutions, beaches, restaurants, etc without feeling any fear?