Temporary layoffs… Good times!

Posted by Jim Stroud

February 25, 2008

When I read the following article from Financial Post, I could not help but reflect on the lyrics of the TV show theme song - Good Times. In particular…

Temporary lay offs. - Good Times.
Easy credit rip offs. - Good Times.
Scratchin’ and surviving. - Good Times.
Hangin in a chow line - Good Times.
Ain’t we lucky we got ‘em - Good Times.

It makes me wonder, just how recession-proof is the recruiting industry? If history repeats itself, not very. Read the article snippet below and let me know your thoughts?

-Snip-Snip -

Deep recession feared in U.S.

Economists are no longer talking about a U.S. recession but a deep recession after figures yesterday showed business sentiment continued to plummet in early February.

Forecasts for a more severe retreat came as CIBC World Markets forecast U.S. house prices would end up sliding 20% before the dust has settled on the American housing meltdown. CIBC estimated 50% of U.S. homeowners who took out below-prime mortgages in 2006 will end up in a negative-equity position — owing more than their house is worth.

“There seems to be a sense of a very deep-seated collapse in the economy,” said Michael Englund, chief economist at Action Economics.

The Philadelphia Federal Reserve’s index of manufacturing activity in the U.S. Northeast dropped to -24.0 in February from January’s already terrible reading of -20.9. Analysts had been expecting a bounce to about -10 after that sharp drop in January.

“As far as this indicator is concerned, a recession, and a severe one at that, is already underway,” said Paul Ash-worth, of Capital Economics.

Click here to read the rest of the story from Financial Post