Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Crisis May Cost World 20M Jobs

Analysts see 'equal-opportunity recession'

By Ambreen Ali,  Newser User

Posted Oct 21, 2008 3:22 PM CDT
Email

(Newser) – The financial sector is slashing workers, and Silicon Valley employees are dropping like prices on last year's iPod. What industry is next? All of them, Moira Herbst writes in BusinessWeek. Every company relies on credit and consumer purchasing power, making this an “equal-opportunity recession,” a staffing agent says. The damage could be 20 million jobs globally, Reuters adds.

Construction, real estate, financial, and auto companies will be worst hit as jobs disappear next year. Various governments and agencies are scrambling to pump resources into the global economy to mitigate this crisis, which could break a global unemployment record. Countries with strong domestic markets, like China, are expected to fare better than those immersed in the globalized economy.

Banks investing in financial transactions instead of productive sectors is one reason for the current crisis, the UN says.
Banks investing in financial transactions instead of productive sectors is one reason for the current crisis, the UN says.   (AP Photo/ Efrem Lukatsky)
Consumer spending power affects every company, making this an equal-opportunity recession.
Consumer spending power affects every company, making this an "equal-opportunity recession."   (AP Photo/Misha Japaridze)
More than 20 million jobs could disappear worldwide next year, with globalized economies being worst hit.
More than 20 million jobs could disappear worldwide next year, with globalized economies being worst hit.   (AP Photo/Eugene Hoshiko)
« Prev« Prev | Next »Next » Slideshow
To report an error on this story, notify our editors.
A snapshot of the day's best news stories.
 
COMMENTS
Be the first to comment on this story.

Merrill to cut 500 jobs
Reuters

Yahoo layoffs expected later this week
Tom's Guide

HP dropping 3,000 positions in UK
ZDNet

 
globalization • General Motors • Merrill Lynch • recession • unemployment • job cuts • financial crisis • Hewlett-Packard

More Newser Stories

'Recovery' Looking Like 10-Year Recession

Jobless 'Wasteland': Europe, US on Brink of Social Revolt

How Banks' Fake Daisy-Chains Led to Meltdown

9 Other States Have Calif.-Sized Fiscal Messes

US GDP Jump Hollow if Unemployment Keeps Rising
NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   Betty Confidential   |   BuzzFeed   |   Cracked   |   Fark   |   Timelines   |   The Frisky   |   Geek Sugar   |   NewsOne