The Coming Job Freeze?

Posted by: Jena McGregor on March 29, 2008

It’s rare that you hear the words “blessing” and “recession” in one sentence, but in a pitch for a study by the Hay Group, that’s apparently what senior VP Tom McMullen thinks some organizations could see who think “strategically” and “creatively” as they head into a downturn. I’m not sure quite what that means, but the purposes of the pitch—a new study by the Hay Group on what employers are planning as they fret over the economy—offers some sobering statistics:

—33% of the respondents said they were planning to freeze or were considering freezing salaries

—More than 20% of organizations will be freezing staff levels or decreasing staff levels

—And 15% are freezing salaries for all employees

Looks like a chilly spring, folks. Button up.

Reader Comments

AnneT

April 2, 2008 6:16 PM

I know this sounds crazy, but I've often thought about this. Why do we have to be open 24/7 and 7 days a week? Wouldn't that ultimately help the economy by allowing the workers who never get at least 2 days off in a row the ability to get more business taken care of and some shopping and other errands. Also, we are the most overworked nation in the world and we are losing ground each year internationally. People are flippin' tired!! All the conglomerates work their people to death and then just get another one. (which has to cost the companies more $$) In the meantime, the CEO's and other admin people just keep getting more and more $$ plus bonuses and benefits. Isn't that costing us more money? Why is the CEO's make like 20 to 100 times the amount of $$ of the average employee? Isn't that costing us more money? Ultimately if we all had at least Sunday off weekly, it would help our American family value system and also wouldn't have to cut wages. For God's sake, wouldn't we get more things done on Monday? And I promise you wouldn't die from not buying a gallon of milk, or those shoes, or that computer, or that car....etc.

Subhash Batra

December 24, 2008 8:19 PM

No Institution in any econemy is a training centre so far recruting new force is expencive hence no new employment in any organisation thus no expenduture of hard earned income only on recruting for the sake of higher and fire process. The total valuable labour force shall remain productive as long as it is productive hence freezing is very much necessary for employer who has to employ more labour by shunting the trained and skilled labour. This is only because he did not want to show that he has as trained labour The employer get her work done in minimum wage and make the country bagger employee and rich employer thus no new recruitment is the solution to handle the economey using a Engineer @$six per hour is fantastic than your comment Sirand only 28 hours pl

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