Whose fault is it if an employee gets laid off ?

Question

Is it the company or the employees fault ? A LOT of companies I know end up losing all their money, because of bad marketing and bad management from the top, but employees resumes are the ones who suffer as a result.

Answer 1

Does it really matter whose fault it is?

You take a job. No one promised you that you could work there forever, that the company would always be successful, nor, for that matter, that the company would even continue to exist.

Even companies that have all the outward signs of stability aren't necessarily stable. That's the nature of the beast.

This, among other reasons, is why corporate pensions are a thing of the past. Even if a company promised you one these days, would you really believe in it? I know I wouldn't!

There are no guarantees. Even if you own your own business. There are some industries that are more stable than others, but there are NO guarantees, period.

The credit card industry, for instance, is about to find that out as Congress starts poking around into "predatory" lending practices. (And who do you think will lose their jobs if the regulation that's so desperately needed goes into effect?)

The ONLY person you can depend on in this world is YOU. Yes, hopefully you will be lucky enough to find some other compatriots in your family and friends, perhaps even at work. But you can't depend on that for your future. Keep your eyes open, read the papers, watch for signs... and keep your own best interest in mind. (I'm not saying don't take risks; you just have to be aware of the risks you're taking.)

Answer 2

I'm sorry if you're in the position of being laid off.

You're right, some companies suffer from just the problems you identify and employees really suffer. The marketplace realizes this. There's a lot of competition to get into strong companies and it is too easy to get into poor ones.

Although you can't test-drive a potential employer, it is a good idea to research them. There's plenty of information about a company's financial performance and some magazines survey employees for the best companies to work for. Check Fortune magazine on line as a starting point.

Answer 3

Let me tell you, I know EXACTLY how you feel!!

Before I get into my personal experience, I admit that there can be many reasons for a lay off and it can be the employees, managements or no one's fault! in the last case, the particular market could suddenly collapse. I know that because I'm a high tech engineer and high tech collapsed 6 years ago and has never fully recovered since. It was really no one particular person's fault because EVERYONE got carried away in the Internet hyep and craze leading up to the collapse.

I cna just relate to your feelings because I had one experience that maddens me to this very day. It was a small high tech company (I'm an engineer) of 15 persons. To make a long story short, the VP of operations completely forgot to re-apply for the government R&D funding that was 40% of our revenue. He opened his mail one morning and there was a letter stating that the agency had not received their application for continued funding and as a result, it was cut off at the end of the month. That resulted in 6 of us being laid off. What burns my *** to this day is that the VP kept his job while we were all thrown out of work and it was his total incompetence!! It was his mistake but we all lost our paychques and he kept his! If this were a larger company that was publicly owned, he would have been outright fired!! Yo just don't forget to do something that causes the business to lose 40% of it's revenue, force a big layoff and you keep your job! It was truly maddening and I'll never forget it!

What's more, that was not the only serious mistake he made. He routinely failed to complete essential duties, meanwhile spent excessive amounts of time gossiping about what he considered other employees problems were (of course he believed there was nothing wrong with himself!) At meetings he once reported that we were spending too much on office supplies, "I notice we're going through a lot of pens!" He told me once that I was the only person in the company that "pissed him off" and laughed! He then gave an example of how something irritated him once and he thought it was me that did it. He snapped my name that I was pissing him off but when he turned around it was someone else! I looked at him and pointed out that it means I'm not the only one who does it and pisses him off. He stood there with a blank look on his face and couldn't think of anything to say back.

Yeah, there are some persons out there that seriously make you wonder.

-- Liam

Answer 4

It's depends on the situation, but it's the employee's fault for putting their faith in a company in the first place. America is the land of opportunity, but those who come to this country from others take advantage while those born here believe that the county owes them something. Soon, there will be no middle class. There will only be rich and poor people. Money only comes from one place - PEOPLE. We just have to learn to have more coming in our direction and a JOB is not the place to learn...

Answer 5

Assigning "fault" is so American. Forget who's at fault and get on with your life. Take it from a guy who has been in "professional transition" for a lifetime. Every time I get comfortable in a position something happens. I lost my job in the navy in '92 because the Berlin wall had come down and the USSR fell apart. Only 2 years from retirement and 300,000 of us were "laid off". If you dwell on who's at fault you'll never get on with your life.

Answer 6

lack of funds in the payroll, is one reason most people get laid off. Most employers go by seniority or job skill's when considering lay off. being laid off does not effect your resume it just adds experience to it..

Answer 7

That's true. How many times have you scratched
your head and say, "How did that guy graduate?"

And the upper management usually have golden parachutes.

Except for the ones convicted of crimes.... Enron, ect.